Emerging market countries had by early 2009 announced that they will have remained fiscally conservative during the 2008–09 crisis, at least compared with the developed countries, which announced much larger fiscal stimuli. The authors argue that the difference in the pre-announced fiscal stance between those two groups of countries could be at least partly due to the awareness of Ricardian equivalence, that is, a higher offset between private and public saving in emerging market countries. They find that the offset coefficient is almost twice as high in emerging market countries as in developed countries, implying that additional government spending, that is, public dissaving, would be almost completely offset by private saving.
Download Info
To download:
If you experience problems downloading a file, check if you have the
proper application to
view it first. Information about this may be contained
in the File-Format links below. In case of further problems read
the IDEAS help
page. Note that these files are not on the IDEAS
site. Please be patient as the files may be large.
Volume (Year): 59 (2009) Issue (Month): 2 (June) Pages: 153-164 Download reference. The following formats are available: HTML
(with abstract),
plain text
(with abstract),
BibTeX,
RIS (EndNote, RefMan, ProCite),
ReDIF