Fiscal Policies for Achieving Finland’s Emission Neutrality Target

Quantitative Determination Of Optimal Fiscal And Monetary Policies: A Stochastic Optimal Control Analysis For Iran

Fiscal Policies and Challenges in South Asia

This paper presents a brief overview of the extant fiscal situation in South Asian countries. In particular, I emphasize low tax/GDP ratios and inelastic expenditure/GDP ratios which then lead to structurally entrenched fiscal deficits. The paper also reports on the sustainability of fiscal and current account deficits in the South Asian countries. Finally, the paper reports on some important i...

Fiscal constraints, collection costs, and trade policies

That free trade allows an economy to achieve the highest possible welfare in an ideal world is one of the few undisputed propositions in the economics profession. Yet, in reality, there is virtually no country that practices free trade. There are roughly three types of (not mutually-exclusive) reasons that explain why trade barriers are so prevalent. First, there are theories that show restrict...

Regime Switching Monetary and Fiscal Policies

This note presents a stylized model of monetary and fiscal policies in which policy regime evolves randomly according to a Markov chain. This simple model is designed to illustrate that well-defined and unique equilibria can exist even in such an environment. It also shows that under certain assumptions about policy behavior, tax disturbances can generate wealth effects in line with the fiscal ...

Local Fiscal Policies and Urban Wage Structures

It has long been recognized that average wages vary strikingly across regions and urban areas, in part due to differences in local amenities and fiscal policies. However, analogous differences in wage dispersion remain relatively unexplored. We develop a model suggesting that, after accounting for individual characteristics, wage dispersion across income groups should reflect differences in the...