Ko, Jun-Hyung; Morita, Hiroshi - In: Economic Modelling 46 (2015) C, pp. 364-375
This paper examines fiscal sustainability conditions in the Japanese economy estimating a Markov-switching vector autoregressive (VAR) model. Three fiscal sustainability conditions are identified in one VAR model: the stance of government, Domar (1944)-type GDP growth, and other factors. The...
