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government bond spreads necessitated the implementation of austerity policies. Austerity however, may increase unemployment. If … costs of austerity. I develop a dynamic stochastic model of sovereign debt with long-term debt, endogenous haircuts and …
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Scotland is engaged in a lively and on-going debate on greater fiscal autonomy and independence, which is politically controversial, especially in respect of tax-varying powers. The Scottish Parliament has the power to make a balanced-budget adjustment in public expenditure by varying the basic...
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