Fiscal Policy Design in Low-Income Countries
For many low-income countries, there has been an extended period in which fiscal policy was not a choice, or was a choice made by authorities external to the country. For a number of them, this situation is now changing. Their own success in stabilising the economy, coupled with a shift in the stance of the international community (most notably the IMF), has placed fiscal choices back on the domestic agenda. However, the scope for choice maybe heavily circumscribed by the legacy of past fiscal laxity. [Discussion Paper No. 2001/67]
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