What Should Fiscal Councils Do?
AbstractThe paper analyses theoretically what role fiscal councils could play and surveys empirically the activities of existing councils. Case studies of the Swedish Fiscal Policy Council and the UK Office for Budget Responsibility are done. It is concluded that fiscal councils should be advisory, rather than decision-making, and work as complements, rather than substitutes, to fiscal rules. A key issue is the political fragility of fiscal councils and how their long-run viability should be secured. Three ways of guaranteeing their independence are suggested: (1) reputation-building; (2)formal national rules; and (3) international monitoring.
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Bibliographic InfoPaper provided by CESifo Group Munich in its series CESifo Working Paper Series with number 3382.
Date of creation: 2011
Date of revision:
deficit bias; fiscal rules; fiscal councils;
Other versions of this item:
- Calmfors, Lars & Wren-Lewis, Simon, 2010. "What Should Fiscal Councils Do?," Seminar Papers, Stockholm University, Institute for International Economic Studies 768, Stockholm University, Institute for International Economic Studies.
- Simon Wren-Lewis & Lars Calmfors, 2011. "What should fiscal councils do?," Economics Series Working Papers 537, University of Oxford, Department of Economics.
- H60 - Public Economics - - National Budget, Deficit, and Debt - - - General
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by Mainly Macro in Mainly Macro on 2013-03-04 20:52:00
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by ? in D'un champ l'autre on 2014-05-19 23:31:00
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by Guest Author in The Big Picture on 2012-09-05 12:30:01
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by Blog Admin in British Politics and Policy at LSE on 2012-08-25 13:30:22
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