Deficit Financing

Chamley and Judd argued that optimal taxation dictates zero long-run tax rates on capital income, but Straub and Werning found that tax rates may be positive even in the steady …

of wars (that is, no capital levies and no deficit financing): “When the pressure of the war is felt at …

Bhutan's economy has recovered from the series of shocks resulting from the COVID-19pandemic and Russia's invasion of Ukraine. After experiencing contractions of 2.5 percent and3.3 percent in FY19/20 and FY20/21, …

are through grants (27 percent) and from deficit financing that is planned to be mobilized from domestic …

Angola’s economic recovery in 2021/22 was nearly halted in 2023 by a double shock, as both oil production and prices weakened, and the debt moratorium ended. In response, the authorities …

sector growth and ensuring a sustainable deficit financing over the medium term. 26. Staff supports … finance and the BNA is essential to align the deficit financing strategy with the monetary policy objectives … more on medium- to long-term issuances for deficit financing. 46. The exchange rate should remain …

Two years of Russia’s war in Ukraine have taken an enormous humanitarian and economic toll. Skillful policymaking supported by external financing has helped maintain macroeconomic stability, and the authorities have …

__________________________________ 9 4. Deficit Financing and Banks’ Claims on the Government _____ … support burden sharing. Figure 4. Ukraine: Deficit Financing and Banks’ Claims on the Government External …

New Consensus Macroeconomics (NCM) We refrain from reviewing the vast literature on the role of monetary policy in the working of the macro-economy and instead focus on the currently prevalent …

if the fiscal deficits were financed by deficit financing (creation of new money) they would have a …

The current account balance is a key macroeconomic aggregate which measures the current account position of a reference country relative to the rest of the world, reflecting the productive capacity …

consumption and investment. This process is called “deficit financing”. Conversely, the current account deficit …

We show that firms' nominal required returns to capital (i.e., their discount rates) are sticky with respect to expected inflation. Such nominally sticky discount rates imply that increases in expected …

parameter ϱB ∈ [0, 1) captures the degree of deficit financing. Throughout, we work with a log-linear approximation …

The new trade and labor migration patterns that emerged since the start of Russia’s war in Ukraine have provided an unexpected boost to growth. Tax revenue increased considerably since 2021, …

2020 2021 2022 2023 Financing needs Fiscal deficit Financing Needs vs. Fiscal Deficit (In percent of GDP) …

Policy recommendations are made in respect of the progressive synchronisation of exchange rate regimes across regional economic communities and the AU, trade dependence and diversification, and the tracking and consistent …

Procyclical fiscal policies, significant and deficit financing, monetary aid inflows, monetary restriction …

Natural disasters, the economic stability commodity price fluctuations, financial crises and global and growth trajectories of economic downturns are among the numerous factors that Nigeria and Ghana over the have …

due to exchange rate management and fiscal-deficit financing. These issues have hindered the central bank’s …