Fiscal Revenue and Inflationary Finance /

This paper analyzes the erosion of fiscal revenue by inflation resulting from the issuance of money. The empirical evidence for a number of developing countries supports the well-known hypothesis that an increase in inflation will result in a fall in real fiscal revenue because of collection lags, t...

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Detalhes bibliográficos
Autor principal: Choudhry, Nurun
Formato: Periódico
Idioma:English
Publicado em: Washington, D.C. : International Monetary Fund, 1990.
Colecção:IMF Working Papers; Working Paper ; No. 1990/048
Acesso em linha:Full text available on IMF
Descrição
Resumo:This paper analyzes the erosion of fiscal revenue by inflation resulting from the issuance of money. The empirical evidence for a number of developing countries supports the well-known hypothesis that an increase in inflation will result in a fall in real fiscal revenue because of collection lags, thereby possibly widening the fiscal deficit. As such, attempts to generate resources to finance government expenditures via the inflation tax will involve a loss in other revenues, making this form of taxation even less desirable.
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Descrição Física:1 online resource (32 pages)
Formato:Mode of access: Internet
ISSN:1018-5941
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