The aim of this study was provide answers to two research questions. While the first one is concerned with the causes of the remarkable macroeconomic resilience of the Nordic EU-countries since the mid-1990s, the second one is related to the sustainability of a high degree of government activity...

Prologue: "The hippopotamus under the rug" -- The most certain man in the world -- Triumph -- The stealth ideologue -- The rise of Rubinomics -- Larry and Joe -- Portrait of a contrarian -- Children of the boom -- The high tide of hubris -- The last guy at the Alamo -- Reaganites redux -- The...

The paper analyses theoretically what role fiscal councils could play and surveys empirically the activities of existing councils. Case studies of the Swedish Fiscal Policy Council and the UK Office for Budget Responsibility are done. It is concluded that fiscal councils should be advisory,...