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Fiscal Policy in India: Lessons and Priorities

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Author Info
Nirvikar Singh (University of California, Santa Cruz)
T. Srinivasan (Economic Growth Center, Yale University)

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Abstract

This paper assesses India's current fiscal situation, its likely future evolution, and impacts on the economy. We examine possible reforms of macroeconomic policy (including fiscal, monetary and exchange rate policy) and broader institutional reforms that will bear on the macroeconomic situation. We also consider the political feasibility of possible reforms. We examine both medium and longer run scenarios, and fiscal sustainability and adjustment going beyond conventional government budget deficits, to include off-budget liabilities, both actual and contingent. We conclude with our assessment of reforms focused on improving the fisc.

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Paper provided by Department of Economics, UC Santa Cruz in its series Santa Cruz Department of Economics, Working Paper Series with number 1022.

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Date of creation: 17 Feb 2004
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Handle: RePEc:cdl:ucscec:1022

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  3. Robert Gillingham & Daniel Kanda, 2001. "Pension Reform in India," IMF Working Papers 01/125, International Monetary Fund. [Downloadable!]
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  6. Rodriguez, Carlos Alfredo, 1991. "The macroeconomics of the public sector deficit : the case of Argentina," Policy Research Working Paper Series 632, The World Bank. [Downloadable!]
  7. Alberto Alesina & Roberto Perotti, 1996. "Fiscal Adjustments in OECD Countries - Composition and Macroeconomic Effects," IMF Working Papers 96/70, International Monetary Fund.
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  8. Buiter, Willem H. & Patel, Urjit R., 1992. "Debt, deficits, and inflation: An application to the public finances of India," Journal of Public Economics, Elsevier, vol. 47(2), pages 171-205, March. [Downloadable!] (restricted)
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  9. Levine, Ross, 1992. "Financial structures and economic development," Policy Research Working Paper Series 849, The World Bank. [Downloadable!]
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  10. Renu Kohli & Kenneth Kletzer, 2001. "Financial Repression and Exchange Rate Management in Developing Countries: Theory and Empirical Evidence for India," IMF Working Papers 01/103, International Monetary Fund. [Downloadable!]
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  15. Ila Patnaik & Ajay Shah, 2005. "Interest-rate risk in the Indian banking system," Risk and Insurance 0501003, EconWPA. [Downloadable!]
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  18. Liviatan, Nissan, 1984. "Tight money and inflation," Journal of Monetary Economics, Elsevier, vol. 13(1), pages 5-15, January. [Downloadable!] (restricted)
  19. Nirvikar Singh & T. Srinivasan, 2004. "Foreign Capital, Inflation, Sterilization, Crowding-Out and Growth: Some Illustrative Models," Santa Cruz Center for International Economics, Working Paper Series 1038, Center for International Economics, UC Santa Cruz. [Downloadable!]
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  20. Valerie R. Bencivenga & Bruce D. Smith, 2003. "Monetary policy and financial market evolution," Review, Federal Reserve Bank of St. Louis, issue Jul, pages 7-26. [Downloadable!]
  21. Srinivasan, T. N., 1996. "Economic liberalization and economic development: India," Journal of Asian Economics, Elsevier, vol. 7(2), pages 203-216. [Downloadable!] (restricted)
  22. Wittman, Donald, 1989. "Why Democracies Produce Efficient Results," Journal of Political Economy, University of Chicago Press, vol. 97(6), pages 1395-1424, December. [Downloadable!] (restricted)
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(explanations, Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.)

  1. Nirvikar Singh & T.N. Srinivasan, 2004. "Foreign Capital, Inflation, Sterilization, Crowding-Out and," International Finance 0412001, EconWPA. [Downloadable!]
  2. Nirvikar Singh & T. Srinivasan, 2004. "Foreign Capital, Inflation, Sterilization, Crowding-Out and Growth: Some Illustrative Models," Santa Cruz Department of Economics, Working Paper Series 1013, Department of Economics, UC Santa Cruz. [Downloadable!]
    Other versions:
  3. Kenneth Kletzer, 2004. "Liberalizing Capital Flows in India: Financial Repression, Macroeconomic Policy and Gradual Reforms," Santa Cruz Department of Economics, Working Paper Series 1006, Department of Economics, UC Santa Cruz. [Downloadable!]
    Other versions:
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