Saving, Investment, Government Finance And The Current Account: The Dutch Experience
AbstractThe problems experienced by the Dutch economy during the last seven years are discussed, problems for future development of the Dutch economy pinpointed and the political-economic debate in the Netherlands surveyed. Ten rules for sound government finance are formulated, and it is argued that the political reality of budget cuts has led to the crowding-out of government investment. Consequently, government productive assets have not kept up with the explosion of government debt, so the net worth of the public sector has declined since 1982. Dutch monetary policy is geared towards the discipline of not using seigniorage for government finance and pegging the stock of nominal government debt. Consumption smoothing suggests that, given liberalized capital markets, investment should be financed through the current account of the the balance of payments, but little evidence can be found for this. This may be due to the `structural budget deficit' rule which has been implemented by Jelle Zijlstra.
Download InfoTo our knowledge, this item is not available for download. To find whether it is available, there are three options:
1. Check below under "Related research" whether another version of this item is available online.
2. Check on the provider's web page whether it is in fact available.
3. Perform a search for a similarly titled item that would be available.
Bibliographic InfoPaper provided by Tilburg - Center for Economic Research in its series Papers with number 9049.
Length: 55 pages
Date of creation: 1990
Date of revision:
Contact details of provider:
Postal: TILBURG UNIVERSITY, CENTER FOR ECONOMIC RESEARCH, 5000 LE TILBURG THE NETHERLANDS.
Phone: 31 13 4663050
Fax: 31 13 4663066
Web page: http://center.uvt.nl/
More information through EDIRC
monetary policy ; investments ; debt;
Other versions of this item:
- Keuzenkamp, H.A. & Ploeg, F. van der, 1990. "Saving, investment, government finance and the current account: The Dutch experience," Discussion Paper 1990-49, Tilburg University, Center for Economic Research.
- Keuzenkamp, Hugo & van der Ploeg, Frederick, 1990. "Savings, Investment, Government Finance and the Current Account: The Dutch Experience," CEPR Discussion Papers 467, C.E.P.R. Discussion Papers.
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.:
- Barro, Robert J, 1979.
"On the Determination of the Public Debt,"
Journal of Political Economy,
University of Chicago Press, vol. 87(5), pages 940-71, October.
- Lawrence H. Summers, 1988.
"Tax Policy and International Competitiveness,"
in: International Aspects of Fiscal Policies, pages 349-386
National Bureau of Economic Research, Inc.
- Van Der Ploeg, F., 1990.
"Budgetary Aspects Of Economic And Monetary Integration Inn Europe,"
9037, Tilburg - Center for Economic Research.
- van der Ploeg, Frederick, 1991. "Budgetary Aspects of Economic and Monetary Integration in Europe," CEPR Discussion Papers 492, C.E.P.R. Discussion Papers.
- Feldstein, Martin & Horioka, Charles, 1980.
"Domestic Saving and International Capital Flows,"
Royal Economic Society, vol. 90(358), pages 314-29, June.
- Begg, David K. H., 1988. "The advantage of tying one's hands: EMS discipline and Central Bank credibility : Francesco Giavazzi and Marco Pagano," European Economic Review, Elsevier, vol. 32(5), pages 1075-1077, June.
- Obstfeld, Maurice, 1988. "The advantage of tying one's hands: EMS discipline and Central Bank credibility : Francesco Giavazzi and Marco Pagano," European Economic Review, Elsevier, vol. 32(5), pages 1077-1082, June.
- repec:fth:harver:1463 is not listed on IDEAS
- Mankiw, N. Gregory, 1987.
"The optimal collection of seigniorage : Theory and evidence,"
Journal of Monetary Economics,
Elsevier, vol. 20(2), pages 327-341, September.
- N. Gregory Mankiw, 1988. "The Optimal Collection of Seigniorage: Theory and Evidence," NBER Working Papers 2270, National Bureau of Economic Research, Inc.
- Braverman, A. & Stiglitz, J.E., 1988. "Credits Rationing, Tenancy, Productivity, And Inequality," Papers 25, Princeton, Woodrow Wilson School - Discussion Paper.
- Francesco Giavazzi & Marco Pagano, 1991.
"The Advantage of Tying One's Hands: EMS Discipline and Central Bank Credibility,"
in: International Volatility and Economic Growth: The First Ten Years of The International Seminar on Macroeconomics, pages 303-330
National Bureau of Economic Research, Inc.
- Giavazzi, Francesco & Pagano, Marco, 1988. "The advantage of tying one's hands : EMS discipline and Central Bank credibility," European Economic Review, Elsevier, vol. 32(5), pages 1055-1075, June.
- Giavazzi, Francesco & Pagano, Marco, 1986. "The Advantages of Tying One's Hands: EMS Discipline and Central Bank Credibility," CEPR Discussion Papers 135, C.E.P.R. Discussion Papers.
- Keuzenkamp, Hugo & van der Ploeg, Frederick, 1990. "Perceived Constraints for Dutch Unemployment Policy," CEPR Discussion Papers 438, C.E.P.R. Discussion Papers.
- Rudiger Dornbusch, 1989. "Credibility, Debt and Unemployment: Ireland's Failed Stabilization," NBER Working Papers 2785, National Bureau of Economic Research, Inc.
- Ploeg, F. van der, 1990. "Short-sighted politicians and erosion of government assets," Discussion Paper 1990-69, Tilburg University, Center for Economic Research.
- Reuven Glick & Michael Hutchison, 1992.
"Fiscal policy in monetary unions: implications for Europe,"
Working Papers in Applied Economic Theory
92-02, Federal Reserve Bank of San Francisco.
- Reuven Glick & Michael Hutchison, 1993. "Fiscal policy in monetary unions: Implications for Europe," Open Economies Review, Springer, vol. 4(1), pages 39-65, March.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Thomas Krichel).
If references are entirely missing, you can add them using this form.