In this paper we test whether German public debt has been sustainable by resorting to a test proposed by Bohn (1998). We apply non-parametric and semi-parametric regressions with time depending coefficients. This test shows that the mean of the coefficient relevant for sustainability has been...

During the next decades the populations of most developed countries will grow older as a result of the low level of birth rates since the 1970s and/or the continuously increasing life expectancy. We show within a Generational Accounting framework how unsustainable the public finances of France,...

The paper presents and estimates an endogenous growth model with public capital. In contrast, however, to recent studies on economic growth and policy, we allow for capital market borrowing by the government. Since the behavior by the government (tax rates, spending and borrowing) does not...

This paper investigates the causes behind the euro debt crisis, particularly Germany's role in it. It is argued that the crisis is not primarily a “sovereign debt crisis” but rather a (twin) banking and balance of payments crisis. Intra-area competitiveness and current account imbalances,...

During the next decades the populations of most developed countries will grow older as a result of the low level of birth rates since the 1970s and/or the continuously increasing life expectancy. We show within a Generational Accounting framework how unsustainable the public finances of France,...

Das vorliegende fünfte Update der 2006 begonnenen "Generationenbilanzierung" der Stiftung Marktwirtschaft und des Forschungszentrums Generationenverträge der Universität Freiburg wirft einen ungeschminkten Blick auf die langfristige Nachhaltigkeit der öffentlichen Finanzen. Vor dem...

Nach einem Drittel der Legislaturperiode hat die im Herbst 2009 angetretene schwarz-gelbe Koalition aus CDU, CSU und FDP mit dem Wachstumsbeschleunigungsgesetz, dem Zukunftspaket und der Gesundheitsreform bis Ende 2010 wesentliche Ziele des Koalitionsvertrages angepackt. Dennoch hat die...