Notes on 'A Code for Fiscal Stability.'

Willem Buiter

Oxford Economic Papers, 2001, vol. 53, issue 1, 1-19

Abstract: This note comments on two central issues for fiscal policy design in the UK, highlighted in the recent "Code for Fiscal Stability" proposed by the new Labour government. The first concerns the merits of the so-called "golden rule of public sector investment"--the proposition that, over the cycle, government borrowing should not exceed government (net) capital formation. The second concerns the case for attempting to construct a more comprehensive balance sheet of public sector assets and liabilities, including tangible public sector assets and certain contingent claims. The two main conclusions are that the golden rule is without merit but that, subject to some important caveats, the construction of a more comprehensive government balance sheet is a worthwhile enterprise. Copyright 2001 by Oxford University Press.

Date: 2001
References: Add references at CitEc
Citations: View citations in EconPapers (33)

There are no downloads for this item, see the EconPapers FAQ for hints about obtaining it.

Related works:
Working Paper: Notes on 'A Code for Fiscal Stability' (1998)
Working Paper: Notes on "A Code for Fiscal Stability" (1998)
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:oup:oxecpp:v:53:y:2001:i:1:p:1-19

Ordering information: This journal article can be ordered from
https://academic.oup.com/journals

Access Statistics for this article

Oxford Economic Papers is currently edited by James Forder and Francis J. Teal

More articles in Oxford Economic Papers from Oxford University Press Oxford University Press, Great Clarendon Street, Oxford OX2 6DP, UK.
Bibliographic data for series maintained by Oxford University Press ().