Strategies for Fiscal Consolidation in the Post-Crisis World

Business & Finance, Economics, International Economics, Nonfiction, Social & Cultural Studies, Political Science, Politics, Economic Policy
Cover of the book Strategies for Fiscal Consolidation in the Post-Crisis World by Mauricio Mr. Villafuerte, Cemile Ms. Sancak, Jan Gottschalk, S. M. Ali Abbas, Olivier Basdevant, Ricardo Velloso, Fuad Hasanov, Greetje Everaert, Stephanie Eble, Junhyung Park, INTERNATIONAL MONETARY FUND
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Author: Mauricio Mr. Villafuerte, Cemile Ms. Sancak, Jan Gottschalk, S. M. Ali Abbas, Olivier Basdevant, Ricardo Velloso, Fuad Hasanov, Greetje Everaert, Stephanie Eble, Junhyung Park ISBN: 9781455289912
Publisher: INTERNATIONAL MONETARY FUND Publication: July 15, 2010
Imprint: INTERNATIONAL MONETARY FUND Language: English
Author: Mauricio Mr. Villafuerte, Cemile Ms. Sancak, Jan Gottschalk, S. M. Ali Abbas, Olivier Basdevant, Ricardo Velloso, Fuad Hasanov, Greetje Everaert, Stephanie Eble, Junhyung Park
ISBN: 9781455289912
Publisher: INTERNATIONAL MONETARY FUND
Publication: July 15, 2010
Imprint: INTERNATIONAL MONETARY FUND
Language: English

In response to the global financial crisis, governments provided substantial support to the financial and other key sectors. Although this cushioned the adverse effects of the crisis, it is necessary now to articulate a strategy to ensure the sustainability of public finances. This paper discusses the scale and composition of fiscal adjustment that will need to occur once the recovery is securely under way. Although specific country-level circumstances will influence the composition of the adjustment and its political feasibility, in many cases restoring fiscal sustainability will require reforms to reduce spending and increase tax revenue.

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In response to the global financial crisis, governments provided substantial support to the financial and other key sectors. Although this cushioned the adverse effects of the crisis, it is necessary now to articulate a strategy to ensure the sustainability of public finances. This paper discusses the scale and composition of fiscal adjustment that will need to occur once the recovery is securely under way. Although specific country-level circumstances will influence the composition of the adjustment and its political feasibility, in many cases restoring fiscal sustainability will require reforms to reduce spending and increase tax revenue.

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