Excessive budget deficits can lead to inflation, exchange crises, external debt crises, and high real interest rates - with implications for real exchange rate, the trade account, and investment. But the links are not automatic, for there are choices in the sources of financing - and lags in the effects of money printing and borrowing on inflation anad interest rates. Small deficits can be financed without creating excessive inflation, exchange rate...
Vea más
INFORMACIÓN
-
1989/05/31
-
Documento de trabajo sobre investigaciones relativas a políticas
-
WPS224
-
1
-
1
-
2010/07/01
-
The economics of the government budget constraint
-
budget deficit