04783oam 22012734 450 991078823090332120230721045648.01-4623-2653-61-4527-5210-91-4518-7067-11-282-84160-29786612841606(CKB)3170000000055103(EBL)1608010(SSID)ssj0000943001(PQKBManifestationID)11479819(PQKBTitleCode)TC0000943001(PQKBWorkID)10994191(PQKB)10183898(OCoLC)874176308(MiAaPQ)EBC1608010(IMF)WPIEE2008209(EXLCZ)99317000000005510320020129d2008 uf 0engur|n|---|||||txtccrOriginal Sin and Procylical Fiscal Policy : Two Sides of the Same Coin? /Gustavo AdlerWashington, D.C. :International Monetary Fund,2008.1 online resource (29 p.)IMF Working PapersIMF working paper ;WP/08/209Description based upon print version of record.1-4519-1520-9 Includes bibliographical references.Contents; 1. Introduction; 2. Model; 2.1 Households; 2.2 Firms; 2.3 Government; 2.4 Equilibrium Path; 3. The Ramsey Problem; 3.1 The Commitment Case; 3.2 No Commitment; 4. A Stationary Economy; 5. A Temporary Shock; 6. Concluding Remarks; Table; 1; Appendix; A; ReferencesThe paper develops a simple model of sovereign debt where default both through direct repudiation and through inflation are possible and give rise to (endogenous) constraints on the currency composition and the level of public debt. This set up allows to show that procyclicality of fiscal policy in EMEs can arise as a by-product of the "original sin" and both can be explained by the presence of weak monetary institutions which cannot commit to price stability. The paper suggests that, as monetary institutions in EMEs strengthen, the "original sin" would fade away and the cyclical properties of fiscal policy would improve.IMF Working Papers; Working Paper ;No. 2008/209Fiscal policyEconometric modelsBusiness cyclesEconometric modelsFinancial crisesEconometric modelsMacroeconomicsimfMoney and Monetary PolicyimfPublic FinanceimfNational Government Expenditures and Related Policies: GeneralimfDebtimfDebt ManagementimfSovereign DebtimfFiscal PolicyimfMonetary SystemsimfStandardsimfRegimesimfGovernment and the Monetary SystemimfPayment SystemsimfMacroeconomics: ConsumptionimfSavingimfWealthimfPublic finance & taxationimfMonetary economicsimfExpenditureimfPublic debtimfFiscal policyimfCurrenciesimfPrivate consumptionimfExpenditures, PublicimfDebts, PublicimfMoneyimfConsumptionimfEconomicsimfFiscal policyEconometric models.Business cyclesEconometric models.Financial crisesEconometric models.MacroeconomicsMoney and Monetary PolicyPublic FinanceNational Government Expenditures and Related Policies: GeneralDebtDebt ManagementSovereign DebtFiscal PolicyMonetary SystemsStandardsRegimesGovernment and the Monetary SystemPayment SystemsMacroeconomics: ConsumptionSavingWealthPublic finance & taxationMonetary economicsExpenditurePublic debtFiscal policyCurrenciesPrivate consumptionExpenditures, PublicDebts, PublicMoneyConsumptionEconomics336.3015195Adler Gustavo1474661DcWaIMFBOOK9910788230903321Original Sin and Procylical Fiscal Policy3704138UNINA