Format:
Online-Ressource (30 p)
Edition:
Online-Ausg.
ISBN:
1451859287
,
9781451859287
Series Statement:
IMF Working Papers Working Paper No. 03/182
Content:
We study the smoothing impact of fiscal stabilizers (proxied by government expenditures or revenues) on business cycle volatility for a panel of EU countries in the period 1970-99. The results show that the business cycle volatility smoothing effect of fiscal stabilizers may revert at high levels. We present evidence that for government expenditure ratios exceeding an estimated value of about 38 percent, a further expansion in the size of the government could actually lead to an increase in cyclical volatility. This may call for a reconsideration of the use of fiscal stabilizers for business cycle smoothing
Additional Edition:
Erscheint auch als Druck-Ausgabe Silgoner, Maria The Fiscal Smile: The Effectiveness and Limits of Fiscal Stabilizers Washington, D.C. : International Monetary Fund, 2003 ISBN 9781451859287
Language:
English
DOI:
10.5089/9781451859287.001