Fiscal Stimulus and Credibility in Emerging Countries »
Journal Issue
Volume/Issue: 2010/123
Series: IMF Working Papers
Author(s): Magda Kandil , and Hanan Morsy
Publisher: INTERNATIONAL MONETARY FUND
Publication Date: 01 May 2010
DOI: http://dx.doi.org/10.5089/9781455200825.001
ISBN: 9781455200825
Keywords: credibility, effectiveness, cyclicality, fiscal impulse, exchange rate, fiscal expansion, Macroeconomic Policy, Macroeconomic Aspects of Public Finance, and General Outlook: General, Open Economy Macroeconomics,
Across a sample of thirty four emerging countries, the evidence shows the frequent existence of a pro-cyclical fiscal impulse. However, the scope for countercyclical policy increases with the availability of intern...