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dc.contributor.authorLodge, David
dc.contributor.authorRodríguez Vives, Marta
dc.date.accessioned2019-07-02T11:09:17Z
dc.date.available2019-07-02T11:09:17Z
dc.date.issued2013
dc.identifier.citationLodge, D., & Rodriguez-Vives, M. (2013). How long can austerity persist? The factors that sustain fiscal consolidations. European Journal of Government and Economics, 2(1), 5-24. https://doi.org/10.17979/ejge.2013.2.1.4284es_ES
dc.identifier.issn2254-7088
dc.identifier.urihttp://hdl.handle.net/2183/23347
dc.description.abstract[Abstract] To put public debt on a sustainable path, many governments face the task of enacting large fiscal consolidation followed by years of sustained primary surpluses. By estimating hazard functions for the duration of consolidations, we analyse the features of past consolidation efforts across a panel of advanced economies. Our contribution is to identify the factors that help to start and sustain consolidations, separately discussing governments’ “commitment” to the cause as well as their “capacity” for action. Our analysis suggests that longer consolidations are initiated when public debt is high, fiscal deficits are large, the interest burden heavy and long-term sovereign bond yields elevated. However, we also find that a countries’ “capacity” to change course is important. Higher initial private sector savings, a stronger external balance, a competitive position and stable financial conditions appear to provide more scope for governments to sustain longer-lasting consolidations. Once we have controlled for the initial macroeconomic conditions, there is a lesser role for governments’ commitment as reflected in factors such as the composition and the pace of the fiscal adjustment or the political cycle in explaining the duration of consolidation. However, commitment to permanent, rather than temporary, fiscal adjustment is key.es_ES
dc.language.isoenges_ES
dc.publisherUniversidade da Coruña, Servizo de Publicaciónses_ES
dc.relation.urihttps://doi.org/10.17979/ejge.2013.2.1.4284es_ES
dc.rightsAtribución 4.0 Españaes_ES
dc.rights.urihttp://creativecommons.org/licenses/by/3.0/es/*
dc.subjectGovernment debtes_ES
dc.subjectGovernment deficites_ES
dc.subjectFiscal consolidationes_ES
dc.subjectPanel dataes_ES
dc.subjectSurvival functiones_ES
dc.titleHow long can austerity persist? The factors that sustain fiscal consolidationses_ES
dc.typeinfo:eu-repo/semantics/articlees_ES
dc.rights.accessinfo:eu-repo/semantics/openAccesses_ES
UDC.journalTitleEuropean Journal of Government and Economicses_ES
UDC.volume2es_ES
UDC.issue1es_ES
UDC.startPage5es_ES
UDC.endPage24es_ES


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