IDEAS home Printed from https://ideas.repec.org/
MyIDEAS: Log in (now much improved!) to save this paper

Convergence of fiscal policies in EMU: a unit root test with structural break

Listed author(s):
  • Francisco Serranito

    ()

    (CEPN - Centre d'Economie de l'Université Paris Nord (ancienne affiliation) - Université Paris 13 - CNRS - Centre National de la Recherche Scientifique)

  • Christophe Blot

    (LEO - Laboratoire d'économie d'Orleans - UO - Université d'Orléans - CNRS - Centre National de la Recherche Scientifique)

The aim of this study is first to determine whether the fiscal policy amongEMU countries have converged and then to identify the source of theconvergence process. The convergence of fiscal policies was at the coreof the fiscal criteria imposed by the Maastricht treaty but it may alsohave resulted from the economic and financial integration that precededthe Treaty. Some unit-root tests are implemented on the cross-countryvariance for various fiscal policy indicators where a break in the interceptand the trend is allowed to catch whether the convergence is due to institutionalarrangements or to economic integration. We conclude that thefiscal position has converged but the break date, selected before 1992,indicates that the convergence process preceded the Maastricht treaty.Considering the fiscal receipts, the hypothesis of convergence is acceptedonly when they are adjusted from the cyclical component. The convergenceof fiscal expenditures is finally clearly rejected.

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

Paper provided by HAL in its series Post-Print with number halshs-00174163.

as
in new window

Length:
Date of creation: 2006
Publication status: Published in Applied Economics Letters, Taylor & Francis (Routledge): SSH Titles, 2006, 13, pp.211-216
Handle: RePEc:hal:journl:halshs-00174163
Note: View the original document on HAL open archive server: https://halshs.archives-ouvertes.fr/halshs-00174163
Contact details of provider: Web page: https://hal.archives-ouvertes.fr/

No references listed on IDEAS
You can help add them by filling out this form.

This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.

When requesting a correction, please mention this item's handle: RePEc:hal:journl:halshs-00174163. 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: (CCSD)

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 references are entirely missing, you can add them using this form.

If the full references list an item that is present in RePEc, but the system did not link 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 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.

This information is provided to you by IDEAS at the Research Division of the Federal Reserve Bank of St. Louis using RePEc data.