IDEAS home Printed from https://ideas.repec.org/p/fth/tilbur/9049.html
   My bibliography  Save this paper

Saving, Investment, Government Finance And The Current Account: The Dutch Experience

Author

Listed:
  • KEUZENKAMP, H.A.
  • VAN DER PLOEG, F.

Abstract

The 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.
(This abstract was borrowed from another version of this item.)
(This abstract was borrowed from another version of this item.)

Suggested Citation

  • Keuzenkamp, H.A. & Van Der Ploeg, F., 1990. "Saving, Investment, Government Finance And The Current Account: The Dutch Experience," Papers 9049, Tilburg - Center for Economic Research.
  • Handle: RePEc:fth:tilbur:9049
    as

    Download full text from publisher

    To our knowledge, this item is not available for download. To find whether it is available, there are three options:
    1. Check below 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.

    Other versions of this item:

    References listed on IDEAS

    as
    1. Roubini, Nouriel & Sachs, Jeffrey D., 1989. "Political and economic determinants of budget deficits in the industrial democracies," European Economic Review, Elsevier, vol. 33(5), pages 903-933, May.
    2. Barro, Robert J, 1979. "On the Determination of the Public Debt," Journal of Political Economy, University of Chicago Press, vol. 87(5), pages 940-971, October.
    3. Francesco Giavazzi & Marco Pagano, 1991. "The Advantage of Tying One's Hands: EMS Discipline and Central Bank Credibility," NBER Chapters,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.
    4. Feldstein, Martin & Horioka, Charles, 1980. "Domestic Saving and International Capital Flows," Economic Journal, Royal Economic Society, vol. 90(358), pages 314-329, June.
    5. Martin Feldstein & Philippe Bacchetta, 1991. "National Saving and International Investment," NBER Chapters,in: National Saving and Economic Performance, pages 201-226 National Bureau of Economic Research, Inc.
    6. repec:fth:harver:1463 is not listed on IDEAS
    7. Mankiw, N. Gregory, 1987. "The optimal collection of seigniorage : Theory and evidence," Journal of Monetary Economics, Elsevier, vol. 20(2), pages 327-341, September.
    Full references (including those not matched with items on IDEAS)

    Citations

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


    Cited by:

    1. Reuven Glick & Michael Hutchison, 1993. "Fiscal policy in monetary unions: Implications for Europe," Open Economies Review, Springer, vol. 4(1), pages 39-65, March.
    2. de Groof, R.J. & van Tuijl, M.A., 1991. "Financial integration and fiscal policy in interdependent two-sector economies with real and nominal wage rigidity," Research Memorandum FEW 526, Tilburg University, School of Economics and Management.
    3. de Groof, R.J. & van Tuijl, M.A., 1992. "Commercial integration and fiscal policy in interdependent, financially integrated two-sector economies with real and nominal wage rigidity," Research Memorandum FEW 567, Tilburg University, School of Economics and Management.

    More about this item

    Keywords

    monetary policy ; investments ; debt;

    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:fth:tilbur:9049. 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: (Thomas Krichel). General contact details of provider: http://edirc.repec.org/data/cekubnl.html .

    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.

    If CitEc recognized a reference but did not link an item in RePEc to it, you can help with 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.