Anusha Chari, Peter Blair Henry, Friday, March 6, 2015

In the wake of the Great Recession, a contentious debate has erupted over whether austerity is helpful or harmful for economic growth. This column compares the experiences of the East Asian countries – whose leaders responded to the East Asian financial crisis with expansionary fiscal policy – with those of the European periphery countries during the Great Recession. The authors argue that it was a mistake for the European periphery countries to pivot from fiscal expansion to consolidation before their economies had recovered.

Robert Solow, Friday, April 1, 2011

Robert Solow of MIT talks to Viv Davies about discretionary fiscal policy, the fiscal multiplier and automatic stabilisers in light of the financial crisis. They also discuss growth prospects for the US, the importance of international coordination of fiscal policy in Europe, the need for a more sophisticated industrial policy and the issue of global imbalances. The interview was recorded in Washington DC in March 2011 at the IMF conference, ‘Macro and Growth Policies in the Wake of the Crisis’. [Also read the transcript]

Mathias Dolls, Clemens Fuest, Andreas Peichl, Friday, September 17, 2010

While debate rages over the appropriate size and timing of fiscal expansions, this column points out that much less attention is devoted to role of the automatic stabilisers in the tax and transfer system. It compares these stabilisers in Europe and the US, finding that social transfers play a key role in the stabilisation of disposable incomes and consumer demand.

Dennis J Snower, Wednesday, May 20, 2009

Under the threat of the financial crisis, US banks have received, without much controversy, huge bailouts. This column argues that the rescue plan ought to act as an automatic stabiliser, providing large bailouts to those institutions whose toxic assets turn out to be worth little and smaller bailouts to those whose toxic assets are worth more. But that is precisely what the Geithner Plan doesn’t do.

Max Corden, Tuesday, May 19, 2009

CEPR Policy Insight No.34 takes a close look at the Keynesian theory underlying the policy of fiscal stimulus being undertaken or considered in many countries, led by the US.

Max Corden, Tuesday, May 19, 2009

Conservative critics of fiscal stimulus policies usually criticise such policies because of the public debt burden they create. This column introduces a new CEPR Policy Insight, which takes a close look at the Keynesian theory underlying the policy of fiscal stimulus being undertaken or considered in many countries, led by the US

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