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This paper does two things. First it examines the use of real time inter-annual cash data and the role of early interventions for improving the monitoring of national fiscal policies and the correction of fiscal indiscipline. Early warnings are important because they allow us to spread the...
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Prior to EMU, fiscal policy within the EU was disciplined by the threat of exclusion of the single currency; post …
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economy. If the government attempts to stimulate output beyond its natural level, a "deficit bias" emerges under non-cooperation …; under cooperation, the equilibrium is characterised by both a "deficit bias" and an "inflation bias". However, if the …
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