Cover Staff Discussion Notes
Buy Book in Print
Second-Generation Fiscal Rules: Balancing Simplicity, Flexibility, and Enforceability
Author:
Luc Eyraud
Search for other papers by Luc Eyraud in
Current site
Google Scholar Close
,
Mr. Xavier Debrun
Search for other papers by Mr. Xavier Debrun in
Current site
Google Scholar Close
,
Andrew Hodge
Search for other papers by Andrew Hodge in
Current site
Google Scholar Close
,
Victor Duarte Lledo https://isni.org/isni/0000000404811396 International Monetary Fund

Search for other papers by Victor Duarte Lledo in
Current site
Google Scholar Close
, and
Ms. Catherine A Pattillo
Search for other papers by Ms. Catherine A Pattillo in
Current site
Google Scholar Close
Series:
Staff Discussion Notes
Volume/Issue:
Volume 2018: Issue 004
Language:
English
Publication Date:
13 Apr 2018
DOI:
https://doi.org/10.5089/9781484350683.006
ISBN:
9781484350683
ISSN:
2617-6750
Pages:
132
Keywords:
SDN; fiscal rule; business cycle; deficit bias; Fiscal policy; debt; fiscal rules; fiscal governance; balance rule; expenditure rule; rule effectiveness; rule adoption; Fiscal stance; Budget planning and preparation; Global; Europe
Legal-disclaimer:
Staff Discussion Notes (SDNs) showcase policy-related analysis and research being developed by IMF staff members and are published to elicit comments and to encourage debate.The views expressed in this Policy Discussion Paper are those of the author(s) and do not necessarily represent those of the IMF or IMF policy.
Download PDF (4.6 MB) Download Epub
Fiscal rule frameworks have evolved significantly in response to the global financial crisis. Many countries have reformed their fiscal rules or introduced new ones with a view to enhancing the credibility of fiscal policy and providing a medium-term anchor. Enforcement and monitoring mechanisms have also been upgraded. However, these innovations have made the systems of rules more complicated to operate, while compliance has not improved. The SDN takes stock of past experiences, reviews recent reforms, and presents new research on the effectiveness of rules. It also proposes guiding principles for future reforms to strike a better balance between simplicity, flexibility, and enforceability. Read the blog
  • Collapse
  • Expand
Cover Staff Discussion Notes
Staff Discussion Notes
ISSN:
2617-6750
Publisher:
International Monetary Fund