Procyclical fiscal policy
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Procyclical fiscal policy shocks, rules, and institutions : a view from MARS by Paolo Manasse

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Published by International Monetary Fund, Fiscal Affairs Dept. in Washington, D.C .
Written in English


  • Fiscal policy -- Econometric models.,
  • Business cycles -- Econometric models.

Book details:

Edition Notes

Statementprepared by Paolo Manasse.
SeriesIMF working paper -- WP/06/27
ContributionsInternational Monetary Fund. Fiscal Affairs Dept.
The Physical Object
Pagination39 p. :
Number of Pages39
ID Numbers
Open LibraryOL19573510M

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Procyclical has a different meaning in the context of economic policy. In this context, it refers to any aspect of economic policy that could magnify economic or financial fluctuations. An economic policy .   This paper documents the spread of fiscal rules in the developing world and investigates the relation between fiscal rules and procyclical fiscal policy. We find that, since the early s, Cited by: 3. Conventional wisdom dictates that a fiscal policy should be counter-cyclical. However, contrary to this conventional views, recent research has demonstrated that fiscal policy is actually procyclical in most developing countries. In this book.   Practically fiscal policy responses using taxation and expenditure can go in two ways in response to the business cycle: Countercyclical and procyclical. What is countercyclical fiscal policy? .

  Procyclic is a condition of positive correlation between the value of a good, a service or an economic indicator and the overall state of the economy. In other words, the value of the good. the government is willing to pay whatever interest it takes, so people would rather invest in them than anything else; thus, the I in CIGNX loses some, which makes the countercyclical fiscal policy less . Vuletin and I have looked at fiscal policy in the midst of crises for seven Latin American countries accounting for more than 90 percent of the region's GDP over the last 40 years and concluded that . Get this from a library! Procyclical fiscal policy. [Toshihiro Ihori; Keigo Kameda] -- Conventional wisdom dictates that a fiscal policy should be counter-cyclical. However, contrary to this conventional views, .