Rules-Based Fiscal Policy in Emerging Markets
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Rules-Based Fiscal Policy in Emerging Markets: Background, Analysis and Prospects(Procyclicality of Financial Systems in Asia)

Rules-Based Fiscal Policy in Emerging Markets: Background, Analysis and Prospects(Procyclicality of Financial Systems in Asia)


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About the Book

Inspired by the experience of some advanced economies and to enhance creditworthiness, recently a number of emerging market economies adopted rules limiting government deficits, expenditures, or indebtedness. The volume consists of 15 chapters - written by distinguished policy analysts and academicians - that focus on the potential usefulness of fiscal rules for these economies and highlight their brief experience with rules. Grouped under three parts, all chapters have a practical orientation, though with conceptual grounding. The first part sets the stage for the rest of the volume with an analysis of fiscal policy under large macroeconomic volatility and high capital mobility, with close attention to political determinants. The second part examines design options at the national level, including on the basis of experience in Brazil, Mexico, Venezuela and Central Europe. The third part is devoted to design issues at the subnational level, focusing mainly on Argentina and India. In each part, lessons from advanced economies are discussed.

Table of Contents:
Overview of Fiscal Policy Rules in Emerging Markets; G.Kopits PART I: POLITICAL ECONOMY AND MACROECONOMIC SETTING Fiscal Rules from a Political Economy Perspective; A.Drazen Good Debt Ratios, Bad Credit Ratings: The Role of Debt Structure; R.Hausmann Can Fiscal Rules Help Reduce Macroeconomic Volatility?; G.Perry Fiscal Policy and High Capital Mobility; G.Kopits Fiscal Institutions Versus Political Will; A.Schick PART II: DESIGN ISSUES AT THE NATIONAL LEVEL EMU Fiscal Rules: What Can and Cannot Be Exported; M.Buti & G.Giudice Fiscal Rules and Debt Sustainability in Brazil; I.Goldfajn & E.R.Guardia Fiscal Rules in Mexico: Evolution and Prospects; A.Conesa, M.J.Schwartz, A.Somuano & J.A.Tijerina Fiscal Rules on the Road to an Enlarged European Union; F.Coricelli & V.Ercolani Fiscal Rules for Economies with Nonrenewable Resources: Norway and Venezuela; O.Bjerkholt & I.Niculescu PART III: DESIGN ISSUES AT THE SUBNATIONAL LEVEL Subnational Fiscal Rules: A Game Theoretic Approach; M.Braun & M.Tommasi Rules-Based Adjustment in a Highly Decentralized Context: The Case of India; K.Kochhar & C.Purfield Fiscal Rules for Subnational Governments: Lessons from the EMU; F.Balassone, D.Franco & S.Zotteri Rules for Stabilizing Intergovernmental Transfers in Latin America; C.Y.Gonzalez, D.Rosenblatt & S.B.Webb

About the Author :
GEORGE KOPITS, Assistant Director of the fiscal affairs department at the International Monetary Fund, has provided technical advice on fiscal policy issues in Asia, Latin America and Europe. He has published and lectured extensively in this area. Previously he was with the US Treasury Department.


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Product Details
  • ISBN-13: 9781137001573
  • Publisher: Palgrave MacMillan
  • Publisher Imprint: Palgrave Macmillan
  • Series Title: Procyclicality of Financial Systems in Asia
  • ISBN-10: 1137001577
  • Publisher Date: 21 Sep 2004
  • Binding: Digital (delivered electronically)
  • Sub Title: Background, Analysis and Prospects


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Rules-Based Fiscal Policy in Emerging Markets: Background, Analysis and Prospects(Procyclicality of Financial Systems in Asia)
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