- Additional Authors
- Description
- 30 p.; 21 x 29.7cm.
- Summary
- The economic and financial crisis was the catalyst for a fiscal crisis that engulfs many OECD countries. Consolidating public finances in order to address the consequences of the crisis, underlying weaknesses and also future spending pressures creates important challenges. Fiscal consolidation requires choices to be made about how much consolidation is needed, how fast it should be implemented and which instruments should be used. Estimates of fiscal gaps suggest that substantial and sustained fiscal tightening will be needed in nearly all countries to bring debt down to prudent levels. However, given a weak global economy, implementing a large fiscal tightening could be particularly costly. Structuring consolidation packages to use instruments with low multipliers initially and enhancing the institutional framework for fiscal policy to lend greater credibility to the commitment to consolidate over time may help minimise the trade-offs with growth in the short run. In most countries there is scope to target spending programmes more effectively and eliminate distortions in taxation. Such measures, buttressed by structural reforms, such as to unsustainable pension systems, can underpin fiscal sustainability, while minimising the costs to long-run growth.
- Series Statement
- OECD Economic Policy Papers, 2226-583X ; no.1
- Uniform Title
- OECD Economic Policy Papers, no.1.
- Subject
- Economics
- LCCN
- 10.1787/5k9bj10bz60t-en
- OCLC
- oecd-lib
- Author
Sutherland, Douglas.
- Title
Fiscal Consolidation [electronic resource]: How Much, How Fast and by What Means? / Douglas Sutherland, Peter Hoeller and Rossana Merola
- Imprint
Paris : OECD Publishing, 2012.
- Series
OECD Economic Policy Papers, 2226-583X ; no.1
OECD Economic Policy Papers, 2226-583X ; no.1.
- Connect to:
- Indexed Term
Economics
- Added Author
Hoeller, Peter.
Merola, Rossana.
- Other Editions:
Consolidation budgétaire : Quelle ampleur, quel rythme et quels moyens ? fre (FR-PaOEC)5k9bcwjnllq7-fr
- Other Standard Identifier
10.1787/5k9bj10bz60t-en doi