This paper examines the effects of expenditure-based fiscal consolidation when credibility as to whether the cuts will … be long-lasting is imperfect. We contrast the impact limited credibility has when the consolidating country has the means … case of an independent monetary policy, the adverse impact of limited credibility is relatively small, and consolidation …

This paper examines the effects of expenditure-based fiscal consolidation when credibility as to whether the cuts will … be long-lasting is imperfect. We contrast the impact limited credibility has when the consolidating country has the means … case of an independent monetary policy, the adverse impact of limited credibility is relatively small, and consolidation …

– provided some (fiscal) policy credibility. Policy credibility was a main determinant of capital market integration and low …