Liability-creating versus non-liability-creating fiscal stabilisation policies: Ricardian equivalence, fiscal stabilisation, and EMU

• 成果类型: Article; Proceedings Paper
• 署名作者: Bayoumi, T; Masson, PR
• 署名单位: International Monetary Fund
• 刊物名称: ECONOMIC JOURNAL
• ISSN/ISSBN: 0013-0133
• DOI: 10.1111/1468-0297.00328
• 发表日期: 1998
• 页码: 1026-1045
• 关键词: permanent income hypothesis; RISK; constitutions

摘要

This paper looks at theoretical and empirical issues associated with the operation of fiscal stabilisers within an economy. It argues that such stabilisers operate most effectively at a national, rather than local, level. As differing cycles across regions tend to offset each other for the country as a whole, national fiscal stabilisers are not associated with the same increase in future tax liabilities for the region as local ones. Accordingly, the negative impact from the Ricardian effects associated with these tax liabilities is smaller. Empirical, work on data across Canadian provinces indicates that local stabilisers are only 1/3 to 1/2 as effective as national stabilisers which create no future tax liability.