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Fiscal Policy: When Theory Collides with Reality

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  • Vito Tanzi
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    Abstract

    This paper sketches the outline of "Theory of Fiscal Policy" in its most essential elements and outlines the assumptions implicit in it. It then argues that the reality can be far removed from this theory, at least in some countries.

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    File URL: http://www.iadb.org/document.cfm?pubDetail=1&id=723937
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    Bibliographic Info

    Paper provided by Inter-American Development Bank in its series IDB Publications with number 9110.

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    Date of creation: Jan 2006
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    Handle: RePEc:idb:brikps:9110

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    Related research

    Keywords: Fiscal Policy; Trade Agreements; Integration & Trade;

    References

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    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.:
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    1. Stein, Ernesto & Hommes, Rudolf & Hausmann, Ricardo & Alesina, Alberto, 1999. "Budget Institutions and Fiscal Performance in Latin America," Scholarly Articles 4553021, Harvard University Department of Economics.
    2. Barry Eichengreen & Ricardo Hausmann & Jürgen Von Hagen, 1999. "Reforming Budgetary Institutions in Latin America: The Case for a National Fiscal Council," Open Economies Review, Springer, vol. 10(4), pages 415-442, October.
    3. Vito Tanzi, 2005. "Fiscal Policy and Fiscal Rules in the European Union," CASE Network Studies and Analyses 0301, CASE-Center for Social and Economic Research.
    4. Vito Tanzi, 2005. "Fiscal policy and fiscal rules in the European Union," CESifo Forum, Ifo Institute for Economic Research at the University of Munich, vol. 6(3), pages 57-64, October.
    5. Fabrizio Balassone & Daniele Franco & Stefania Zotteri, 2006. "EMU fiscal indicators: a misleading compass?," Empirica, Springer, vol. 33(2), pages 63-87, June.
    6. Torsten Persson & Guido Tabellini, 2004. "Constitutional Rules and Fiscal Policy Outcomes," American Economic Review, American Economic Association, vol. 94(1), pages 25-45, March.
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