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forecasts of budget deficits. Yet national accounts data of the eurozone countries are now a reliable basis for macroeconomic … policy decisions. The stability and growth pact of the eurozone countries relies heavily on one indicator of fiscal … eurozone governments. …
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forecasts of budget deficits. Yet national accounts data of the eurozone countries are now a reliable basis for macroeconomic … policy decisions. The stability and growth pact of the eurozone countries relies heavily on one indicator of fiscal … eurozone governments …
Persistent link: https://www.econbiz.de/10014088820
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The aim of the paper is to analyse the Stability and Growth Pact of EMU in a two-country model of monetary union with rational expectations and with spillovers of macroeconomic policies between the countries. The paper concentrates on tax policy, and shows that the results on optimal policy...
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