This paper investigates the impact of fiscal consolidation in different states on domestic government debt in South Africa. The government budget constraint theoretical framework and Markov-switching dynamic regression (MSDR) from 1979 to 2022. The contribution of this paper is to examine fiscal...

This paper investigates the impact of the time-varying elasticity of the cyclically adjusted primary balance (CAPB) and fiscal consolidation on government debt. The time-varying parameter structural vector autoregression (TVP-VAR) model is used on a time series of data from 1979 to 2022. The...

This research tackles a gap in existing literature by offering empirical insights into the effectiveness of utilizing the Gold and Foreign Exchange Contingency Reserve Account (GFECRA) in overseeing total domestic debt, thereby enhancing our comprehension of fiscal policy implications and debt...

This paper discusses the rationale and options for a fiscal anchor for South Africa and its potential for restoring and maintaining fiscal sustainability. It argues that a well designed fiscal anchor can be useful in the current fiscal milieu, but notes that the popularity of fiscal rules belies...