Fiscal Discipline and Exchange Rate Regimes : Evidence From the Caribbean /

This paper assesses the nature of fiscal discipline under alternative exchange rate regimes. First, it shows in a simple theoretical framework that fiscal agencies under a currency union with a fixed exchange rate can have the largest incentive to overspend or "free-ride" (compared to thos...

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Bibliographic Details
Main Author: Duttagupta, Rupa
Other Authors: Tolosa, Guillermo
Format: Journal
Language:English
Published: Washington, D.C. : International Monetary Fund, 2006.
Series:IMF Working Papers; Working Paper ; No. 2006/119
Online Access:Full text available on IMF