Pakistan: Breaking out of stagflation into sustained growth
This paper proposes that the underlying cause of the macroeconomic problems facing Pakistan today are a series of supply shocks which have constrained output growth. It is argued that while the current debate has solely focused on government expenditures and revenues, it is critical to also address the acute energy shortages which is constraining supply. The paper goes on to present four recommendations for breaking out of the present stagflation: (i) prudent macroeconomic management, (ii) reviving the role of the government in development while restoring fiscal balance, (iii) loosening monetary policy in order to spur the private sector, and (iv) improving social safety nets.
|Date of creation:||2011|
|Publication status:||Published in The Lahore Journal of Economics 16 (2011): pp. 13-30|
|Contact details of provider:|| Postal: Ludwigstraße 33, D-80539 Munich, Germany|
Web page: https://mpra.ub.uni-muenchen.de
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- Rashid Amjad & Musleh ud Din, 2010.
"Economic and Social Impact of Global Financial Crisis: Implications for Macroeconomic and Development Policies in South Asia,"
PIDE Monograph Series
2010:2, Pakistan Institute of Development Economics.
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- repec:pid:wpaper:2010:2 is not listed on IDEAS
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