@techreport{Bruck2004Fiscal,
abstract = {We analyse the effectiveness of fiscal policy rules for business cycle stabilisation in a
monetary union using a quarterly macro-econometric model of Germany. The
simulations compare a deficit target and an expenditure target under a range of supply,
demand and fiscal shocks. Their effects are evaluated by their impact on prices and
output. The analysis demonstrates that in general the deficit target of the stability pact
leads to less stabilisation than an expenditure target. The results suggest that the deficit
rule of the stability pact should be replaced with an expenditure rule augmented by
medium-term debt targets.},
address = {Berlin},
author = {Tilman Br\"{u}ck and Rudolf Zwiener},
copyright = {http://www.econstor.eu/dspace/Nutzungsbedingungen},
keywords = {F42; E62; E37; 330; fiscal policy; international policy coordination; simulation; Antizyklische Finanzpolitik; EU-Stabilit\"{a}tspakt; W\"{a}hrungsunion; Wirtschaftspolitische Wirkungsanalyse; Simulation; Haushaltsdefizit; \"{O}ffentliche Ausgaben; Sch\"{a}tzung; Deutschland},
language = {eng},
number = {427},
publisher = {Deutsches Institut f\"{u}r Wirtschaftsforschung (DIW)},
title = {Fiscal Policy Rules for Stabilisation and Growth : A Simulation Analysis of Deficit and Expenditure Targets in a Monetary Union},
type = {DIW-Diskussionspapiere},
url = {http://hdl.handle.net/10419/18163},
year = {2004}
}
