03082nam 2200601Ia 450 991082608600332120200520144314.01-4623-7805-61-4527-6729-71-283-51291-21-4519-0932-29786613825360(CKB)3360000000443528(EBL)3014444(SSID)ssj0000943015(PQKBManifestationID)11528416(PQKBTitleCode)TC0000943015(PQKBWorkID)10975142(PQKB)11041574(OCoLC)694141100(MiAaPQ)EBC3014444(IMF)WPIEE2006219(EXLCZ)99336000000044352820070507d2006 uf 0engur|n|---|||||txtccrPost-crisis recovery when does increased fiscal discipline work? /prepared by Pritha Mitra1st ed.Washington, D.C. International Monetary Fund, IMF Institutec20061 online resource (45 p.)IMF working paper ;WP/06/219"September 2006."1-4518-6479-5 Includes bibliographical references.""Contents""; ""I. INTRODUCTION""; ""II. BACKGROUND""; ""III. THE MODEL""; ""A. Households""; ""B. Firms""; ""C. Government""; ""D. Domestic Financial Intermediary""; ""E. Foreign Creditor""; ""IV. EQUILIBRIUM CONDITIONS""; ""V. PARAMETERS""; ""VI. SIMULATIONS""; ""A. The Base Case""; ""B. Application of Disciplined Fiscal Policy""; ""C. Application of Simulation Results to Korea and Thailand""; ""VII. CONCLUSIONS AND FURTHER RESEARCH""; ""References""; ""Appendix: Simulated Paths of Variables""Emerging market financial crises during the late 1990s were marked by sudden withdrawals of funds by foreign creditors, resulting in production declines. The IMF favored positive signals to potential foreign creditors and initially recommended disciplined fiscal policy during the height of crisis, countering standard Keynesian recommendations of expansionary fiscal stimulus. This paper formulates an open-economy general equilibrium model for resolving this policy conundrum and analyzing the impact of disciplined fiscal policy on post-crisis recovery. The model demonstrates via simulations that disciplined fiscal policy will improve (worsen) post-crisis recovery in the presence (absence) of appropriately defined production flexibility.IMF working paper ;WP/06/219.Financial crisesDeveloping countriesEconometric modelsFiscal policyDeveloping countriesEconometric modelsFinancial crisesEconometric models.Fiscal policyEconometric models.Mitra Pritha1974-1760742International Monetary Fund.MiAaPQMiAaPQMiAaPQBOOK9910826086003321Post-crisis recovery4203928UNINA