Using the model derived by Bajo-Rubio (2014), this paper estimates government budget balance-consistent growth rates for the euro area countries. A comparison of these estimates to their actual growth rates indicates that most of these countries are growing at rates that are very similar to...

Main changes have occurred in the comprehension and practice of fiscal policy over the last century. In this paper we do a brief historical account and show that the prominence of fiscal policy as a policy tool has waxed and waned, a condition that has hindered the capability of researchers to...

This paper analyses the link between discretionary fiscal policy and interest-growth differentials (r-g). Panel regressions based on a dataset for 20 advanced countries over the years 1990-2019 reveal no evidence of a systematic linear relationship between fiscal policy and r-g. However, more...