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Original Articles

Measuring effectiveness of fiscal policy in OECD countries

Pages 29-34 | Published online: 06 Oct 2010
 

Abstract

The paper discusses the measurement of fiscal policy effects in the OECD/EU countries. The analysis is based on a simple VAR model for output growth, inflation and a fiscal indicator. Empirical analyses with data from 21 OECD countries for 1960–1996 show that fiscal policy effects differ considerably between EU countries. The core EMU countries do not seem to include France and Spain.

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