IDEAS home Printed from https://ideas.repec.org/a/cai/reofsp/reof_116_0017.html
   My bibliography  Save this article

Finances publiques, sorties de crise..

Author

Listed:
  • Catherine Mathieu
  • Henri Sterdyniak

Abstract

The 2007-2009 financial crisis was caused by financial markets? greed and instability and led to a strong rise public debts and deficits in advanced economies. Financial markets and international institutions advocate a ?fiscal exit strategy? through rapid cuts in public deficits and debts under large public spending cuts. However the state of public finances was generally satisfactory before the crisis; the rise in deficits was needed for macroeconomic stabilisation purposes. Exit strategies should maintain interest rates at low levels and government deficits as long as they are needed to support activity. Strengthening the SGP would be dangerous if it deprived EU Member States of policy tools that were helpful in the crisis. In the euro area public debts should be collectively guaranteed by the ECB and the Member States to avoid speculation. World economic stability is not threatened by public finance imbalances, but by growing financial speculation. JEL Classification codes: E63, H63, N14.

Suggested Citation

  • Catherine Mathieu & Henri Sterdyniak, 2011. "Finances publiques, sorties de crise..," Revue de l'OFCE, Presses de Sciences-Po, vol. 0(1), pages 17-60.
  • Handle: RePEc:cai:reofsp:reof_116_0017
    as

    Download full text from publisher

    File URL: http://www.cairn.info/load_pdf.php?ID_ARTICLE=REOF_116_0017
    Download Restriction: free

    File URL: http://www.cairn.info/revue-de-l-ofce-2011-1-page-17.htm
    Download Restriction: free

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Facchini, François, 2014. "Retour sur la crise et les politiques mises en œuvre : une perspective autrichienne
      [Past and Future of the crisis]
      ," MPRA Paper 52984, University Library of Munich, Germany.
    2. repec:spo:wpecon:info:hdl:2441/eo6779thqgm5r489m6u1i2a0o is not listed on IDEAS
    3. repec:spo:wpecon:info:hdl:2441/c6t1fl36hv9s7q89j8pa18291 is not listed on IDEAS
    4. Catherine Mathieu & Henri Sterdyniak, 2013. "Can the new French economic policy be successful?," European Journal of Economics and Economic Policies: Intervention, Edward Elgar Publishing, vol. 10(2), pages 175-192.
    5. Henri Sterdyniak, 2012. "Ramener à zéro le déficit public doit-il être l’objectif central de la politique économique ?," Sciences Po publications info:hdl:2441/c6t1fl36hv9, Sciences Po.
    6. repec:spo:wpecon:info:hdl:2441/eo6779thqgm5r489maqa474kg is not listed on IDEAS
    7. Catherine Mathieu & Henri Sterdyniak, 2012. "Faut-il des règles de politique budgétaire ?," Revue de l'OFCE, Presses de Sciences-Po, vol. 0(7), pages 299-346.
    8. repec:spo:wpecon:info:hdl:2441/eu4vqp9ompqllr09j0h1j80c0 is not listed on IDEAS
    9. Catherine Mathieu & Henri Sterdyniak, 2013. "Do we need fiscal rules?," Revue de l'OFCE, Presses de Sciences-Po, vol. 0(1), pages 189-233.
    10. Gerard Cornilleau, 2012. "Crise et dépenses de santé : financement et politiques à court-moyen terme," Post-Print hal-01024549, HAL.
    11. Mireille Elbaum, 2011. "Le financement de la protection sociale : quelles perspectives au-delà des solutions miracles," Documents de Travail de l'OFCE 2011-27, Observatoire Francais des Conjonctures Economiques (OFCE).
    12. repec:hal:journl:dumas-00834841 is not listed on IDEAS
    13. André Grjebine, 2013. "L’Eurosystème: un mécanisme de transferts en faveur des pays déficitaires ? Le débat," Sciences Po publications info:hdl:2441/eo6779thqgm, Sciences Po.

    More about this item

    Keywords

    fiscal exit strategies; EU debt crisis; public deficits;

    JEL classification:

    • E63 - Macroeconomics and Monetary Economics - - Macroeconomic Policy, Macroeconomic Aspects of Public Finance, and General Outlook - - - Comparative or Joint Analysis of Fiscal and Monetary Policy; Stabilization; Treasury Policy
    • H63 - Public Economics - - National Budget, Deficit, and Debt - - - Debt; Debt Management; Sovereign Debt
    • N14 - Economic History - - Macroeconomics and Monetary Economics; Industrial Structure; Growth; Fluctuations - - - Europe: 1913-

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:cai:reofsp:reof_116_0017. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Jean-Baptiste de Vathaire). General contact details of provider: http://www.cairn.info/revue-de-l-ofce.htm .

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.