Daniel, Betty C.; Shiamptanis, Christos - In: Journal of Economic Dynamics and Control 37 (2013) 11, pp. 2307-2321
Governments are confronted with the growing realization that they face fiscal limits on the size of debt and deficits relative to GDP. These fiscal limits invalidate Bohn's criterion for fiscal sustainability, which allows explosive debt relative to GDP, eventually violating any fiscal limit. We...