Format:
Online-Ressource (28 p)
Edition:
Online-Ausg.
ISBN:
1463933150
,
9781463933159
Series Statement:
IMF Working Papers Working Paper No. 12/30
Content:
This paper finds optimal fiscal rule parameter values and measures the effects of imposing fiscal rules using a default model calibrated to an economy that in the absence of a fiscal rule pays a significant sovereign default premium. The paper also studies the case in which the government conducts a voluntary debt restructuring to capture the capital gains from the increase in its debt market value implied by a rule announcement. In addition, the paper shows how debt ceilings may reduce the procyclicality of fiscal policy and thus consumption volatility
Additional Edition:
Erscheint auch als Druck-Ausgabe Hatchondo, Juan Carlos Fiscal Rules and the Sovereign Default Premium Washington, D.C. : International Monetary Fund, 2012 ISBN 9781463933159
Language:
English
DOI:
10.5089/9781463933159.001
