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transfers, and saving in achieving risk sharing during the recent European crisis. We focus on the sub-periods 1990-2007, 2008 …-2009, and 2010 and consider separately the European countries hit by the sovereign debt crisis in 2010. We decompose risk … important role in hindering risk sharing during the sovereign debt crisis …
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The paper explores the macroeconomic consequences of fiscal consolidations whose timing and composition are uncertain. Drawing on the evidence in Alesina and Ardagna (2010), we emphasize whether or not the fiscal consolidation is driven by tax rises or expenditure cuts. We find that the...
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