Measuring effectiveness of fiscal policy in OECD countries

Matti Viren

Applied Economics Letters, 2000, vol. 7, issue 1, 29-34

Abstract: The paper discusses the measurement of fiscal policy effects in the OECD/EU countries. The analysis is based on a simple VAR model for output growth, inflation and a fiscal indicator. Empirical analyses with data from 21 OECD countries for 1960-1996 show that fiscal policy effects differ considerably between EU countries. The core EMU countries do not seem to include France and Spain.

Date: 2000
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DOI: 10.1080/135048500352059

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