Consumption smoothing and shock persistence : optimal simple fiscal rules for commodity exporters (English)

A common criticism of balanced budget fiscal rules is that they increase the consumption volatility of financially constrained households who are unable to smooth consumption. This paper evaluates the welfare consequences of simple fiscal rules in a model of a small commodity-exporting country with a share of financially constrained households, where fiscal policy takes the form of transfers. A main finding is that balanced budget rules for commodity...

DETAILS

Author

Galego Mendes,Arthur;

Pennings,Steven Michael;
Document Date
2017/04/25
Document Type
Policy Research Working Paper
Report Number
WPS8035
Volume No
1
Total Volume(s)
1
Country
World,
Region
Other,
Disclosure Date
2017/04/25
Disclosure Status
Disclosed
Doc Name
Consumption smoothing and shock persistence : optimal simple fiscal rules for commodity exporters
Keywords
commodity price shock

DOWNLOADS

COMPLETE REPORT

Official version of document (may contain signatures, etc)

Official PDF
TXT*
Total Downloads** : 1104
Download Stats
*The text version is uncorrected OCR text and is included solely to benefit users with slow connectivity.

Citation

Galego Mendes,Arthur; Pennings,Steven Michael.

Consumption smoothing and shock persistence : optimal simple fiscal rules for commodity exporters (English). Policy Research working paper|no. WPS 8035 Washington, D.C. : World Bank Group. http://documents.worldbank.org/curated/en/384311493124785251

Consumption smoothing and shock persistence : optimal simple fiscal rules for commodity exporters (English)

DETAILS

DOWNLOADS

COMPLETE REPORT

Citation

SUBSCRIBE TO EMAIL ALERTS