Populism or budgetary endogeneity? Discretionary fiscal policy in Argentina

Daniel Arce

Brazilian Journal of Political Economy, 1995, vol. 15, issue 4, 463-477

Abstract: This paper uses the Fischer equation and Olivera-Tanzi effect to insulate theinflationary endogeneity existing in Argentine public deficit. The outcome is a fiscal policydiscretionary measure known as zero inflation budget. Through this measure we examine ifthe deficit reflects countercyclical policies or populist consumption targets. JEL Classification: E32; E62.

Keywords: Political economy; fiscal policy; inflation; countercyclical policy (search for similar items in EconPapers)
Date: 1995
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