What Sustains Fiscal Consolidations in Emerging Market Countries? /

This paper examines the factors affecting the persistence of fiscal consolidation in 25 emerging market countries during 1980-2001. It proposes a new approach for defining spells of fiscal consolidation. The results indicate that the probability of ending a fiscal adjustment is affected by the legac...

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Dettagli Bibliografici
Autore principale: Clements, Benedict
Altri autori: Baldacci, Emanuele, Gupta, Sanjeev, Tiongson, Erwin
Natura: Periodico
Lingua:English
Pubblicazione: Washington, D.C. : International Monetary Fund, 2003.
Serie:IMF Working Papers; Working Paper ; No. 2003/224
Accesso online:Full text available on IMF
Descrizione
Riassunto:This paper examines the factors affecting the persistence of fiscal consolidation in 25 emerging market countries during 1980-2001. It proposes a new approach for defining spells of fiscal consolidation. The results indicate that the probability of ending a fiscal adjustment is affected by the legacy of previous fiscal failures, the size of the deficit, the composition of spending, and level of total revenues. There is also some evidence that the initial debt stock, exchange rate developments, inflation, and the unemployment rate have an impact on the persistence of adjustments.
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Descrizione fisica:1 online resource (27 pages)
Natura:Mode of access: Internet
ISSN:1018-5941
Accesso:Electronic access restricted to authorized BRAC University faculty, staff and students