Policy Regime Changes and the Long-Run Sustainability of Fiscal Policy: An Application to Greece

S. Makrydakis, Elias Tzavalis and A. Balfoussias

Discussion Papers from University of Exeter, Department of Economics

Abstract: This paper questions the widespead practice of assessing the hypothesis of long-run fiscal policy sustainability by means of conventional unit-root tests that do not allow for the possible impact of regime shifts. Using the Greek economy as a model case, the Zivot- Andrews squential integrability testing procedure which allows for the endogenous determination of possible regime changes is deployed to this end.

Keywords: FISCAL POLICY; DEBT; UNIT ROOTS; ECONOMIC POLICY (search for similar items in EconPapers)
JEL-codes: E62 H62 H63 (search for similar items in EconPapers)
Pages: 27 pages
Date: 1996
References: Add references at CitEc
Citations:

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

Related works:
Journal Article: Policy regime changes and the long-run sustainability of fiscal policy: an application to Greece (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:exe:wpaper:9601

Access Statistics for this paper

More papers in Discussion Papers from University of Exeter, Department of Economics Contact information at EDIRC.
Bibliographic data for series maintained by Sebastian Kripfganz ().