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Is Fiscal Consolidation a New Anchor or a Fiscal Trap for Growth and Employment? A Theoretical and Empirical Literature Based Analysis

Year 2017, Volume: 25 Issue: 34, 107 - 143, 31.10.2017

Hüseyin Şen , Ayşe Kaya

https://doi.org/10.17233/sosyoekonomi.334410

Abstract

This study undertakes a topic, which stands at an important issue of many
countries’ economic agenda from the viewpoint of growth and
employment; in the light of existing theoretical as well as empirical studies
in this regard the study aims to review and to make an inference with regard to
the effect of fiscal consolidation on growth and employment.

Keywords

Fiscal Consolidation Economic Growth Employment Fiscal Trap Keynesian and Non-Keynesian Effects of Fiscal Policy

References

  • Afonso, A. (2006), Expansionary Fiscal Consolidations in EuropeNew Evidence, The European Central Bank, Working Paper Series, No: 675, p. 52.
  • Afonso, A. (2010), “Expansionary Fiscal Consolidations in Europe: New Evidence”, Applied Economics Letters, Vol: 17, Issue: 2, pp. 105-109.
  • Afonso, A., Nickel, C. & Rother, P.C. (2006), “Fiscal Consolidations in the Central and Eastern European Countries”, Review of World Economics, Vol: 142, pp. 402-421.
  • Alesina, A. & Ardagna, S. (1998), “Tales of Fiscal Adjustment”, Economic Policy, Vol: 27, pp. 487-545.
  • Alesina, A., Ardagna, S. & Tavares, J. T. (1998), “The Political Economy of Fiscal Adjustments”, Brookings Papers on Economic Activity, Vol: 29, Issue: 1, pp. 197-266.
  • Afonso, A. & Jalles, J. T. (2012), “Measuring the Success of Fiscal Consolidations”, Applied Financial Economics, Vol: 22, pp. 1053-1061.
  • Agnello, L., Castro, V. & Sousa, R.M. (2013), “What Determines the Duration of a Fiscal Consolidation Program?”, Journal of International Money and Finance, Vol: 37, pp. 113-134.
  • Alesina, A. & Ardagna, S. (2010), “Large Changes in Fiscal Policy: Taxes versus Spending”, in Brown, J.R. (Ed.), Tax Policy and the Economy, Vol: 24, No: 1, pp. 35-68.
  • Alesina, A. & Ardagna, S. (2013), “The Design of Fiscal Adjustments”, Tax Policy and the Economy, Vol: 27, Issue: 1, pp. 19-68.
  • Alesina, A., Ardagna, S., Perotti, R. & Schiantarelli, F. (2002), “Fiscal policy, Profits, and Investment”, American Economic Review, Vol: 92, pp. 571-89.
  • Alesina, A. & Perotti, R. (1995), “Fiscal Expansions and Fiscal Adjustments in OECD Countries”, Economic Policy, Vol: 10(21), pp. 205-248.
  • Alesina, A. & Perotti, R. (1997), “Fiscal Adjustments in OECD Countries: Composition and Macroeconomic Effects”, IMF Staff Papers, Vol: 44, pp. 210-248.
  • Ardagna, S. (2004), “Fiscal Stabilizations: When Do They Work and Why”, European Economic Review, Vol: 48, pp. 1047-1074.
  • Arestis, P., Kaya, A. & Şen, H. (2017), “Does Fiscal Consolidation Promote Economic Growth and Employment? Evidence from the PIIGGS Countries”, Mimeo.
  • Atas, E. (2013), Fiscal Consolidation in Turkey: The Impact of Reforms and Institutions on Debt Sustainability: A Political Economy Perspective, M.Sc. Dissertation, Universitas Warwicennis, UK.
  • Banerjee, R. & Zampolli, F. (2016), What Drives the Short-run Costs of Fiscal Consolidation? Evidence from OECD Countries, BIS Working Papers, No: 553, p. 34.
  • Barro, R. J. (1974), “Are Government Bonds Net Wealth?”, Journal of Political Economy, Vol: 82, No: 6, pp. 1095-1117.
  • Bermperoglou, D., Pappa, E. & Vella, E. (2013), Spending-based Fiscal Consolidations and Their Effects on Output and Unemployment, London, CEPR, Discussion Paper, No: 9383, p. 53.
  • Bertola, G. & Drazen, A. (1993), “Trigger Points and Budget Cuts: Explaining the Effects of Fiscal Austerity”, American Economic Review, Vol: 83, Issue: 1, pp. 11-26.
  • Bhattacharya, R. & Mukherjee, S. (2013), “Non-Keynesian Effects of Fiscal Policy in OECD Economies: An Empirical Study”, Applied Economics, Vol: 45 (29), pp. 4122-4136.
  • Blanchard, O. J. (1990), “Commont on the F. Giavazzi and M. Pagano Article: Can severe Fiscal Contractions be Expansionary? Tales of Two Small European Countries”, NBER Macroeconomics Annual, pp. 75-110.
  • Blanchard, O. & R, Perotti (2002), “An Empirical Characterization of the Dynamic Effects of Changes in Government Spending and Taxes on Output”, Quarterly Journal of Economics, Vol: 117, pp. 1329-68.
  • Briotti, M. G. (2002), Fiscal Consolidation in EU Countries in the Nineties: New Facts and Policy Implications, A Paper by the European Central Bank Directorate General Economics Fiscal Policies Division, p. 52.
  • Brückner, M. & Pappa, E. (2012), “Fiscal Expansions, Unemployment, and Labour Force Participation: Theory and Evidence”, International Economic Review, Vol: 53, No: 1, pp. 205-228.
  • Cimadomo, J. & Bénassy-Quéré, A. (2012), “Changing Patterns of Fiscal Policy Multipliers in Germany, the UK and the US”, Journal of Macroeconomics, Vol: 34(3), pp. 845-873.
  • Daveri, F. & Tabellini, G. (2000), “Unemployment, Growth, and Taxation in Industrial Countries”, Economic Policy, Vol: 15, Issue: 30, pp. 47-104.
  • Devries, P, Guajardo, J., Leigh, D. & Pescatori, A. (2011), A New Action-Based Data Set of Fiscal Consolidation, IMF Working Paper, No: 11/128, p. 90.
  • Dinçer, N. N. & Özdemir, Z. A. (2009), “The Quality of Fiscal Adjustment: An Empirical Analysis of Turkey”, Journal of Economic Policy Reform, Vol: 12 No: 2, pp. 111-126.
  • Dökmen, G. & Vural, T. (2011), “Maliye Politikalarının Keynesyen Olmayan Etkileri: Türkiye Örneği”, Maliye Dergisi, Sayı: 161, ss. 118-132.
  • Erceg, J.C. & Lindé, J. (2013), “Fiscal Consolidation in a Currency Union: Spending Cuts vs. Tax Hikes”, Journal of Economic Dynamics & Control, Vol: 37, pp. 422-445.
  • Erdoğan, L. (2007), “Genişletici Mali Daralma Hipotezi: Türkiye Uygulaması”, Anadolu Üniversitesi Sosyal Bilimler Dergisi, Vol: 7, No: 2, pp.117-132.
  • Escudero, V. & Mourelo, E. L. (2017), “The employment effect of changes in the composition of fiscal consolidations”, International Review of Applied Economics, Vol: 31, Issue: 1, pp. 45-68.
  • Feldstein, M. (1982), “Government Deficits and Aggregate Demand”, Journal of Monetary Economics, Vol: 9, No: 1, pp. 1-20.
  • Fels, G. & Froehlish, H-P. (1987), “Germany and the World Economy: A German View”, Economic Policy, Vol: 2, Issue: 4, pp. 177-195.
  • Giavazzi, F. & Pagano, M. (1990), Can Severe Fiscal Contractions be Expansionary? Tales of Two Small European Countries, In O.J. Blanchard and S. Fischer (eds.), NBER Macroeconomic Annual. Cambridge: MIT Press, pp. 75-110.
  • Giavazzi, F. & Pagano, M. (1996), “Non-Keynesian Effects of Fiscal Policy Changes: International Evidence and the Swedish Experience”, Swedish Economic Policy Review, Vol: 3, pp. 67-103.
  • Giavazzi, F., Jappelli, T. & Pagano, M. (2000), “Searching for Non-Linear Effects of Fiscal Policy: Evidence for Industrial and Developing Countries”, European Economic Review, Vol: 44, pp. 1269-1289.
  • Giordano, R., Momigliano, S., Neri, S. & Perotti, R. (2007), “The Effects of Fiscal Policy in Italy: Evidence from a VAR Model”, European Journal of Political Economy, Vol: 23, pp. 707-733.
  • Gupta, S., Clements, B., Baldacci, E. & Mulas-Granados, C. (2004), “The Persistence of Fiscal Adjustments in Developing Countries”, Applied Economics Letters, Vol: 11(4), pp. 209-212.
  • Hannsgen, G. & Papadimitriou, D. (2012), “Fiscal Traps and Macro Policy After the Eurozone Crisis”, Levy Economics Institute of Bard College, Public Policy Brief, No: 127, p.17.
  • Hemming, R., Kell, M. & Mahfouz, S. (2002), The Effectiveness of Fiscal Policy in Stimulating Economic Activity -A Review of the Literature, IMF Working Paper, No: WP/02/208, p. 53.
  • Hernández de Cos, P. & Moral-Benito, E. (2013), “What Drives a Successful Fiscal Consolidation?”, Applied Economics Letters, Vol: 20, pp.748-753.
  • Heylen, F. & Everaert, G. (2000), “Success and Failure of Fiscal Consolidation in the OECD: A multivariate Analysis”, Public Choice, Vol: 105, pp. 103-124.
  • Hellwing, M., Neumann, M. J. M., Vaubel, R. & Miller, M. (1987), “Economic Policy in Germany: Was there a Turnaround?”, Economic Policy, Vol: 2, No: 5, pp. 103-145.
  • IMF (2010), Will It Hurt? Macroeconomic Effects of Fiscal Consolidation, in World Economic Outlook, Chapter 3, October 2010, pp. 93-124.
  • İlgün, M. F. (2010), “Genişletici Mali Daralma Hipotezinin Temelleri ve Türkiye Ekonomisi Üzerine Bir Uygulama”, Erciyes Üniversitesi İktisadi ve İdari Bilimler Fakültesi Dergisi, Sayı: 35, ss. 233-253.
  • Kónya, L. (2006), “Exports and Growth: Granger Causality Analysis on OECD Countries with a Panel Data Approach”, Economic Modelling, Vol: 23(6), pp. 978-992.
  • Maroto, R. & Mulas-Granados, C. (2007), “What Makes Fiscal Policy Sustainable? A Survival Analysis of Fiscal Consolidations in Europe”, Public Choice, Vol: 130(3-4), pp. 24-46.
  • McDermott, C. J. & Wescott, R. F. (1996), An Empirical Analysis of Fiscal Adjustments, IMF Staff Papers, Vol: 43, No: 4, pp. 725-53.
  • Miller, S. M. & Russek, F.S. (2003), “The Relationship between Large Fiscal Adjustments and Short-Term Output Growth Under Alternative Fiscal Policy Regimes”, Contemporary Economic Policy, Vol: 21, No: 1, pp. 41-58.
  • Miller, M., Skidelsky, R. & Weller, P. (1990), Fear of Deficit Financing  Is It Rational?, in Rudiger Dornbush and Draghi (Eds.), Public Debt Management: Theory and History İçinde, Cambridge University Press: Cambridge, pp. 293-310.
  • Monacelli, T., Perotti, R. & Trigari, A. (2010), “Unemployment Fiscal Multipliers”, Journal of Monetary Economics, Vol: 97(5), pp. 531-553.
  • Mundle, S., Bhanumurthy, N. R. & Das, D. (2011), “Fiscal Consolidation with High Growth: A Policy Simulation Model for India”, Economic Modelling, Vol: 28(6), pp. 2657-2668.
  • OECD (2012), What are the Best Policy Instruments for Fiscal Consolidation?, OECD Economics Department Policy Notes, No: 12, April 2012, p. 12.
  • Özatay, F. (2008), Expansionary Fiscal Consolidations: New Evidence from Turkey, TOBB University of Economics and Technology, Department of Economics, Working Paper, No: 08-05, p. 29.
  • Perotti, R. (2005), Estimating the Effects of Fiscal Policy in OECD Countries, CEPR Discussion Papers, No: 4842, p. 60.
  • Perotti, R. (1996), “Fiscal Consolidation in Europe: Composition Matters”, The American Economic Review, Vol: 86(2), pp. 105-110.
  • Romer, C. D. & Romer, D. H. (2010), “The Macroeconomic Effects of Tax Changes: Estimates Based on a New Measure of Fiscal Shocks,” American Economic Review, Vol: 100(3), pp. 763-801.
  • Romer, C. D. & Romer, D. H. (2004), “A New Measure of Monetary Shocks: Derivation and Implications,” American Economic Review, Vol: 94, No: 4, pp. 1055-84.
  • Romer, C. D. & Romer, D. H. (1989), Does Monetary Policy Matter? A New Test in the Spirit of Friedman and Schwartz, in NBER Macroeconomics Annual, Vol: 4, Ed. by Olivier J. Blanchard and Stanley Fischer, Cambridge, Massachusetts: National Bureau of Economic Research, pp. 121-170.
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Mali Konsolidasyon Büyüme ve İstihdam için Bir Çıpa mı, Mali Tuzak mı? Teorik ve Ampirik Literatür Temelli Bir Analiz

Year 2017, Volume: 25 Issue: 34, 107 - 143, 31.10.2017

Hüseyin Şen , Ayşe Kaya

https://doi.org/10.17233/sosyoekonomi.334410

Abstract

Bu çalışma son yıllarda ülkelerin ekonomik gündemlerinin başköşesinde yer
alan bir kavram olan mali konsolidasyonu, büyüme ve istihdam perspektifinden
ele almakta; teorik ve ampirik literatürde bu minvalde yapılan tartışmalar
ışığında mali konsolidasyonun büyüme ve istihdam üzerindeki kısa ve uzun
dönemli etkilerini gözden geçirmeyi ve bir çıkarımda bulunmayı amaçlamaktadır.

Keywords

Mali Konsolidasyon Büyüme İstihdam Mali Tuzak Maliye Politikasının Keynesyen ve Keynesyen Olmayan Etkileri

References

  • Afonso, A. (2006), Expansionary Fiscal Consolidations in EuropeNew Evidence, The European Central Bank, Working Paper Series, No: 675, p. 52.
  • Afonso, A. (2010), “Expansionary Fiscal Consolidations in Europe: New Evidence”, Applied Economics Letters, Vol: 17, Issue: 2, pp. 105-109.
  • Afonso, A., Nickel, C. & Rother, P.C. (2006), “Fiscal Consolidations in the Central and Eastern European Countries”, Review of World Economics, Vol: 142, pp. 402-421.
  • Alesina, A. & Ardagna, S. (1998), “Tales of Fiscal Adjustment”, Economic Policy, Vol: 27, pp. 487-545.
  • Alesina, A., Ardagna, S. & Tavares, J. T. (1998), “The Political Economy of Fiscal Adjustments”, Brookings Papers on Economic Activity, Vol: 29, Issue: 1, pp. 197-266.
  • Afonso, A. & Jalles, J. T. (2012), “Measuring the Success of Fiscal Consolidations”, Applied Financial Economics, Vol: 22, pp. 1053-1061.
  • Agnello, L., Castro, V. & Sousa, R.M. (2013), “What Determines the Duration of a Fiscal Consolidation Program?”, Journal of International Money and Finance, Vol: 37, pp. 113-134.
  • Alesina, A. & Ardagna, S. (2010), “Large Changes in Fiscal Policy: Taxes versus Spending”, in Brown, J.R. (Ed.), Tax Policy and the Economy, Vol: 24, No: 1, pp. 35-68.
  • Alesina, A. & Ardagna, S. (2013), “The Design of Fiscal Adjustments”, Tax Policy and the Economy, Vol: 27, Issue: 1, pp. 19-68.
  • Alesina, A., Ardagna, S., Perotti, R. & Schiantarelli, F. (2002), “Fiscal policy, Profits, and Investment”, American Economic Review, Vol: 92, pp. 571-89.
  • Alesina, A. & Perotti, R. (1995), “Fiscal Expansions and Fiscal Adjustments in OECD Countries”, Economic Policy, Vol: 10(21), pp. 205-248.
  • Alesina, A. & Perotti, R. (1997), “Fiscal Adjustments in OECD Countries: Composition and Macroeconomic Effects”, IMF Staff Papers, Vol: 44, pp. 210-248.
  • Ardagna, S. (2004), “Fiscal Stabilizations: When Do They Work and Why”, European Economic Review, Vol: 48, pp. 1047-1074.
  • Arestis, P., Kaya, A. & Şen, H. (2017), “Does Fiscal Consolidation Promote Economic Growth and Employment? Evidence from the PIIGGS Countries”, Mimeo.
  • Atas, E. (2013), Fiscal Consolidation in Turkey: The Impact of Reforms and Institutions on Debt Sustainability: A Political Economy Perspective, M.Sc. Dissertation, Universitas Warwicennis, UK.
  • Banerjee, R. & Zampolli, F. (2016), What Drives the Short-run Costs of Fiscal Consolidation? Evidence from OECD Countries, BIS Working Papers, No: 553, p. 34.
  • Barro, R. J. (1974), “Are Government Bonds Net Wealth?”, Journal of Political Economy, Vol: 82, No: 6, pp. 1095-1117.
  • Bermperoglou, D., Pappa, E. & Vella, E. (2013), Spending-based Fiscal Consolidations and Their Effects on Output and Unemployment, London, CEPR, Discussion Paper, No: 9383, p. 53.
  • Bertola, G. & Drazen, A. (1993), “Trigger Points and Budget Cuts: Explaining the Effects of Fiscal Austerity”, American Economic Review, Vol: 83, Issue: 1, pp. 11-26.
  • Bhattacharya, R. & Mukherjee, S. (2013), “Non-Keynesian Effects of Fiscal Policy in OECD Economies: An Empirical Study”, Applied Economics, Vol: 45 (29), pp. 4122-4136.
  • Blanchard, O. J. (1990), “Commont on the F. Giavazzi and M. Pagano Article: Can severe Fiscal Contractions be Expansionary? Tales of Two Small European Countries”, NBER Macroeconomics Annual, pp. 75-110.
  • Blanchard, O. & R, Perotti (2002), “An Empirical Characterization of the Dynamic Effects of Changes in Government Spending and Taxes on Output”, Quarterly Journal of Economics, Vol: 117, pp. 1329-68.
  • Briotti, M. G. (2002), Fiscal Consolidation in EU Countries in the Nineties: New Facts and Policy Implications, A Paper by the European Central Bank Directorate General Economics Fiscal Policies Division, p. 52.
  • Brückner, M. & Pappa, E. (2012), “Fiscal Expansions, Unemployment, and Labour Force Participation: Theory and Evidence”, International Economic Review, Vol: 53, No: 1, pp. 205-228.
  • Cimadomo, J. & Bénassy-Quéré, A. (2012), “Changing Patterns of Fiscal Policy Multipliers in Germany, the UK and the US”, Journal of Macroeconomics, Vol: 34(3), pp. 845-873.
  • Daveri, F. & Tabellini, G. (2000), “Unemployment, Growth, and Taxation in Industrial Countries”, Economic Policy, Vol: 15, Issue: 30, pp. 47-104.
  • Devries, P, Guajardo, J., Leigh, D. & Pescatori, A. (2011), A New Action-Based Data Set of Fiscal Consolidation, IMF Working Paper, No: 11/128, p. 90.
  • Dinçer, N. N. & Özdemir, Z. A. (2009), “The Quality of Fiscal Adjustment: An Empirical Analysis of Turkey”, Journal of Economic Policy Reform, Vol: 12 No: 2, pp. 111-126.
  • Dökmen, G. & Vural, T. (2011), “Maliye Politikalarının Keynesyen Olmayan Etkileri: Türkiye Örneği”, Maliye Dergisi, Sayı: 161, ss. 118-132.
  • Erceg, J.C. & Lindé, J. (2013), “Fiscal Consolidation in a Currency Union: Spending Cuts vs. Tax Hikes”, Journal of Economic Dynamics & Control, Vol: 37, pp. 422-445.
  • Erdoğan, L. (2007), “Genişletici Mali Daralma Hipotezi: Türkiye Uygulaması”, Anadolu Üniversitesi Sosyal Bilimler Dergisi, Vol: 7, No: 2, pp.117-132.
  • Escudero, V. & Mourelo, E. L. (2017), “The employment effect of changes in the composition of fiscal consolidations”, International Review of Applied Economics, Vol: 31, Issue: 1, pp. 45-68.
  • Feldstein, M. (1982), “Government Deficits and Aggregate Demand”, Journal of Monetary Economics, Vol: 9, No: 1, pp. 1-20.
  • Fels, G. & Froehlish, H-P. (1987), “Germany and the World Economy: A German View”, Economic Policy, Vol: 2, Issue: 4, pp. 177-195.
  • Giavazzi, F. & Pagano, M. (1990), Can Severe Fiscal Contractions be Expansionary? Tales of Two Small European Countries, In O.J. Blanchard and S. Fischer (eds.), NBER Macroeconomic Annual. Cambridge: MIT Press, pp. 75-110.
  • Giavazzi, F. & Pagano, M. (1996), “Non-Keynesian Effects of Fiscal Policy Changes: International Evidence and the Swedish Experience”, Swedish Economic Policy Review, Vol: 3, pp. 67-103.
  • Giavazzi, F., Jappelli, T. & Pagano, M. (2000), “Searching for Non-Linear Effects of Fiscal Policy: Evidence for Industrial and Developing Countries”, European Economic Review, Vol: 44, pp. 1269-1289.
  • Giordano, R., Momigliano, S., Neri, S. & Perotti, R. (2007), “The Effects of Fiscal Policy in Italy: Evidence from a VAR Model”, European Journal of Political Economy, Vol: 23, pp. 707-733.
  • Gupta, S., Clements, B., Baldacci, E. & Mulas-Granados, C. (2004), “The Persistence of Fiscal Adjustments in Developing Countries”, Applied Economics Letters, Vol: 11(4), pp. 209-212.
  • Hannsgen, G. & Papadimitriou, D. (2012), “Fiscal Traps and Macro Policy After the Eurozone Crisis”, Levy Economics Institute of Bard College, Public Policy Brief, No: 127, p.17.
  • Hemming, R., Kell, M. & Mahfouz, S. (2002), The Effectiveness of Fiscal Policy in Stimulating Economic Activity -A Review of the Literature, IMF Working Paper, No: WP/02/208, p. 53.
  • Hernández de Cos, P. & Moral-Benito, E. (2013), “What Drives a Successful Fiscal Consolidation?”, Applied Economics Letters, Vol: 20, pp.748-753.
  • Heylen, F. & Everaert, G. (2000), “Success and Failure of Fiscal Consolidation in the OECD: A multivariate Analysis”, Public Choice, Vol: 105, pp. 103-124.
  • Hellwing, M., Neumann, M. J. M., Vaubel, R. & Miller, M. (1987), “Economic Policy in Germany: Was there a Turnaround?”, Economic Policy, Vol: 2, No: 5, pp. 103-145.
  • IMF (2010), Will It Hurt? Macroeconomic Effects of Fiscal Consolidation, in World Economic Outlook, Chapter 3, October 2010, pp. 93-124.
  • İlgün, M. F. (2010), “Genişletici Mali Daralma Hipotezinin Temelleri ve Türkiye Ekonomisi Üzerine Bir Uygulama”, Erciyes Üniversitesi İktisadi ve İdari Bilimler Fakültesi Dergisi, Sayı: 35, ss. 233-253.
  • Kónya, L. (2006), “Exports and Growth: Granger Causality Analysis on OECD Countries with a Panel Data Approach”, Economic Modelling, Vol: 23(6), pp. 978-992.
  • Maroto, R. & Mulas-Granados, C. (2007), “What Makes Fiscal Policy Sustainable? A Survival Analysis of Fiscal Consolidations in Europe”, Public Choice, Vol: 130(3-4), pp. 24-46.
  • McDermott, C. J. & Wescott, R. F. (1996), An Empirical Analysis of Fiscal Adjustments, IMF Staff Papers, Vol: 43, No: 4, pp. 725-53.
  • Miller, S. M. & Russek, F.S. (2003), “The Relationship between Large Fiscal Adjustments and Short-Term Output Growth Under Alternative Fiscal Policy Regimes”, Contemporary Economic Policy, Vol: 21, No: 1, pp. 41-58.
  • Miller, M., Skidelsky, R. & Weller, P. (1990), Fear of Deficit Financing  Is It Rational?, in Rudiger Dornbush and Draghi (Eds.), Public Debt Management: Theory and History İçinde, Cambridge University Press: Cambridge, pp. 293-310.
  • Monacelli, T., Perotti, R. & Trigari, A. (2010), “Unemployment Fiscal Multipliers”, Journal of Monetary Economics, Vol: 97(5), pp. 531-553.
  • Mundle, S., Bhanumurthy, N. R. & Das, D. (2011), “Fiscal Consolidation with High Growth: A Policy Simulation Model for India”, Economic Modelling, Vol: 28(6), pp. 2657-2668.
  • OECD (2012), What are the Best Policy Instruments for Fiscal Consolidation?, OECD Economics Department Policy Notes, No: 12, April 2012, p. 12.
  • Özatay, F. (2008), Expansionary Fiscal Consolidations: New Evidence from Turkey, TOBB University of Economics and Technology, Department of Economics, Working Paper, No: 08-05, p. 29.
  • Perotti, R. (2005), Estimating the Effects of Fiscal Policy in OECD Countries, CEPR Discussion Papers, No: 4842, p. 60.
  • Perotti, R. (1996), “Fiscal Consolidation in Europe: Composition Matters”, The American Economic Review, Vol: 86(2), pp. 105-110.
  • Romer, C. D. & Romer, D. H. (2010), “The Macroeconomic Effects of Tax Changes: Estimates Based on a New Measure of Fiscal Shocks,” American Economic Review, Vol: 100(3), pp. 763-801.
  • Romer, C. D. & Romer, D. H. (2004), “A New Measure of Monetary Shocks: Derivation and Implications,” American Economic Review, Vol: 94, No: 4, pp. 1055-84.
  • Romer, C. D. & Romer, D. H. (1989), Does Monetary Policy Matter? A New Test in the Spirit of Friedman and Schwartz, in NBER Macroeconomics Annual, Vol: 4, Ed. by Olivier J. Blanchard and Stanley Fischer, Cambridge, Massachusetts: National Bureau of Economic Research, pp. 121-170.
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There are 72 citations in total.

Details

Journal Section Articles
Authors

Hüseyin Şen

Ayşe Kaya

Publication Date October 31, 2017
Submission Date June 26, 2017
Published in Issue Year 2017 Volume: 25 Issue: 34

Cite

APA Şen, H., & Kaya, A. (2017). Is Fiscal Consolidation a New Anchor or a Fiscal Trap for Growth and Employment? A Theoretical and Empirical Literature Based Analysis. Sosyoekonomi, 25(34), 107-143. https://doi.org/10.17233/sosyoekonomi.334410
AMA Şen H, Kaya A. Is Fiscal Consolidation a New Anchor or a Fiscal Trap for Growth and Employment? A Theoretical and Empirical Literature Based Analysis. Sosyoekonomi. October 2017;25(34):107-143. doi:10.17233/sosyoekonomi.334410
Chicago Şen, Hüseyin, and Ayşe Kaya. “Is Fiscal Consolidation a New Anchor or a Fiscal Trap for Growth and Employment? A Theoretical and Empirical Literature Based Analysis”. Sosyoekonomi 25, no. 34 (October 2017): 107-43. https://doi.org/10.17233/sosyoekonomi.334410.
EndNote Şen H, Kaya A (October 1, 2017) Is Fiscal Consolidation a New Anchor or a Fiscal Trap for Growth and Employment? A Theoretical and Empirical Literature Based Analysis. Sosyoekonomi 25 34 107–143.
IEEE H. Şen and A. Kaya, “Is Fiscal Consolidation a New Anchor or a Fiscal Trap for Growth and Employment? A Theoretical and Empirical Literature Based Analysis”, Sosyoekonomi, vol. 25, no. 34, pp. 107–143, 2017, doi: 10.17233/sosyoekonomi.334410.
ISNAD Şen, Hüseyin - Kaya, Ayşe. “Is Fiscal Consolidation a New Anchor or a Fiscal Trap for Growth and Employment? A Theoretical and Empirical Literature Based Analysis”. Sosyoekonomi 25/34 (October 2017), 107-143. https://doi.org/10.17233/sosyoekonomi.334410.
JAMA Şen H, Kaya A. Is Fiscal Consolidation a New Anchor or a Fiscal Trap for Growth and Employment? A Theoretical and Empirical Literature Based Analysis. Sosyoekonomi. 2017;25:107–143.
MLA Şen, Hüseyin and Ayşe Kaya. “Is Fiscal Consolidation a New Anchor or a Fiscal Trap for Growth and Employment? A Theoretical and Empirical Literature Based Analysis”. Sosyoekonomi, vol. 25, no. 34, 2017, pp. 107-43, doi:10.17233/sosyoekonomi.334410.
Vancouver Şen H, Kaya A. Is Fiscal Consolidation a New Anchor or a Fiscal Trap for Growth and Employment? A Theoretical and Empirical Literature Based Analysis. Sosyoekonomi. 2017;25(34):107-43.
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