SOLVENCY OF COUNTER-CYCLICAL POLICY RULES

• 成果类型: Article
• 署名作者: VANDERPLOEG, F
• 署名单位: Tinbergen Institute
• 刊物名称: JOURNAL OF PUBLIC ECONOMICS
• ISSN/ISSBN: 0047-2727
• DOI: 10.1016/0047-2727(94)01437-S
• 发表日期: 1995
• 页码: 45-65
• 关键词: OPTIMAL STABILIZATION POLICY; TAX AND SEIGNIORAGE SMOOTHING; public finance; NOMINAL INERTIA; PRO-CYCLICAL REAL WAGE; BATTLE OF THE MARK-UPS; supply shocks; STAGFLATION; PRESENT-VALUE GOVERNMENT BUDGET CONSTRAINT; BURDEN OF THE PUBLIC SECTOR; GOLDEN RULES FOR GOVERNMENT FINANCE; NOMINAL ANCHORS

摘要

If an accelerationist Phillips curve derived from the behaviour of wage and price setters is combined with an aggregate demand curve, perpetual battles about the distribution of income and never-ending cycles in inflation and unemployment emerge as a result of demand or supply shocks. An optimal counter-cyclical rule for monetary growth stabilises these conflict cycles, but violates principles of sound public finance. This paper derives policy rules that ensure solvency of the public sector. A larger public sector, temporary budgetary expansions and adverse supply shocks push up long-run unemployment and inflation. Attention is also paid to the effects of tax erosion, and the effects of nominal anchors on credibility and macroeconomic policy.