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Transition Economies

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  • International Monetary Fund

Abstract

This paper assesses changes in the size and scope of government in 24 transition economies. Whereas these governments have retrenched in terms of public expenditures in relation to GDP, as well as public employment as a share of population, some indicators suggest that size remains high (e.g., rising indebtedness, a heavy regulatory burden, and prevalence of noncash transactions). At the same time, the scope of government activities-although evolving-has not necessarily become appropriate. This paper provides some recommendations for aligning the scope of government with the increasing market orientation of these economies.

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Bibliographic Info

Paper provided by International Monetary Fund in its series IMF Working Papers with number 01/55.

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Length: 44
Date of creation: 01 May 2001
Date of revision:
Handle: RePEc:imf:imfwpa:01/55

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Keywords: Transition economies; public spending; expenditure; expenditures; government spending; public expenditures; government expenditure; taxation; public expenditure; budgetary institutions; fiscal policy; total expenditure; budget deficits; tax administration; tax bases; intergovernmental fiscal; fiscal relations; intergovernmental fiscal relations; fiscal decentralization; tax system; expenditure programs; capital expenditure; budget allocations; expenditure management; fiscal accounts; fiscal federalism; expenditure commitments; accumulation of arrears; tax revenue; tax policy; tax authorities; composition of public spending; revenue collection; tax rates; tax collections; expenditure cuts; classification of expenditure; local taxes; fiscal operations; public finance; fiscal performance; composition of government spending; fiscal imbalances; weak public expenditure management; increase in government expenditure; fiscal activities; expenditure monitoring; expenditure policies; fiscal discipline; expenditure mandates; ratio of public spending; fiscal aggregates; fiscal affairs department; progressive taxation; government expenditures; quasi-fiscal activities; fiscal issues; aggregate demand; expenditure data; expenditure analysis; fiscal rules; budget constraints; public debt; fiscal reform; fiscal institutions; fiscal affairs; expenditure shares; tax evasion; tax collection; consumption expenditure; tax reform; reduction in government spending; total expenditures; aggregate expenditures;

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References

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  1. Persson, Torsten & Tabellini, Guido, 2002. "Political economics and public finance," Handbook of Public Economics, in: A. J. Auerbach & M. Feldstein (ed.), Handbook of Public Economics, edition 1, volume 3, chapter 24, pages 1549-1659 Elsevier.
  2. Persson, Torsten & Tabellini, Guido, 1999. "The size and scope of government:: Comparative politics with rational politicians," European Economic Review, Elsevier, vol. 43(4-6), pages 699-735, April.
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Citations

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Cited by:
  1. World Bank, 2003. "Serbia and Montenegro : Public Expenditure and Institutional Review, Volume 2. Serbia," World Bank Other Operational Studies 14823, The World Bank.
  2. Kristof Witte & Wim Moesen, 2010. "Sizing the government," Public Choice, Springer, vol. 145(1), pages 39-55, October.
  3. Catriona Purfield, 2003. "Fiscal Adjustment in Transition Countries," IMF Working Papers 03/36, International Monetary Fund.
  4. Luigi, Bernardi & Mar, Chandler, 2004. "Main tax policy issues in the new members of Eu," MPRA Paper 18195, University Library of Munich, Germany.
  5. António Afonso & Christiane Nickel & Philipp C. Rother, 2006. "Fiscal Consolidations in the Central and Eastern European Countries," Review of World Economics (Weltwirtschaftliches Archiv), Springer, vol. 142(2), pages 402-421, July.
  6. Henri Lorie, 2003. "Priorities for Further Fiscal Reforms in the Commonwealth of Independent States," IMF Working Papers 03/209, International Monetary Fund.
  7. Alam, Asad & Sundberg, Mark, 2002. "A decade of fiscal transition," Policy Research Working Paper Series 2835, The World Bank.
  8. Nikopour, Hesam & Shah Habibullah, Muzafar, 2010. "Shadow Economy and Poverty," MPRA Paper 23599, University Library of Munich, Germany.
  9. World Bank, 2004. "Republic of Tunisia - Development Policy Review : Making Deeper Trade Integration Work for Growth and Jobs," World Bank Other Operational Studies 15693, The World Bank.

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