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An efficient test of fiscal sustainability

Vasco Gabriel and Pataaree Sangduan

Applied Economics Letters, 2010, vol. 17, issue 18, 1819-1822

Abstract: We suggest using the efficient test with prespecified cointegration vectors of Horvath and Watson (1995) for the 'strong' fiscal sustainability hypothesis. Unlike this procedure, conventional methodologies tend to penalize the sustainability hypothesis.

Date: 2010
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Citations: View citations in EconPapers (3)

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Working Paper: An Efficient Test of Fiscal Sustainability (2010) Downloads
Working Paper: An Efficient test of Fiscal Sustainability (2010) Downloads
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DOI: 10.1080/13504850903299610

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