Explaining fiscal policies and inflation in developing countries

Explaining Agricultural and Agrarian Policies in Developing Countries

Explaining Agricultural What explains differences in agricultural and agrarian and Agrarian Policies policies across couJntries and in Developing Countries over time? Why do countries in Developing Countries dpalniM ozc adopt, and maintain, policy regimes that reduce efficiency Hans P. Binswanger and increase rural poverty? Klaus Deininger What are the conditions for countries to initiate equit...

Inflation Bias, Time Inconsistency of Monetary and Fiscal Policies and Institutional Quality

In developing countries, weak institutional quality can increase the probability of applying discretionary policies and can have a great impact on their double-digit inflation. Surico (2008) calculated inflation bias, but he considered just monetary policy and he did not pay attention to the institutions. Therefore, we design a model which considers the discretion in monetary and fiscal policie...

Fiscal Impact of Privatization in Developing Countries

Macroeconomics of fiscal policy in developing countries

This paper considers some aspects of the effects of fiscal policy on macroeconomic adjustment in developing countries. First, the paper reviews the notion of the fiscal deficit in the particular context of developing countries. It then spells out the conditions under which the internal and external debts are sustainable and points out the role of the “twin deficits”. The paper then presents som...

The Threshold Impact of Fiscal and Monetary Policies on Inflation: Threshold Model Approach

The aim of this study is to examine the nonlinear effects of fiscal and monetary policies on inflation during 1990:3 to 2013:1 based on threshold model. First lag of the liquidity growth is recognized as threshold variable with threshold value estimated at 6.37 percent. In low liquidity growth, the results indicate that inflation expectations and the lagged liquidity growth are the most importa...