Arbeitspapier

Manipulating Fiscal Forecasts: Evidence from the German States

We examine whether German state governments manipulated fiscal forecasts before elections. Our data set includes three fiscal measures over the period 1980-2014. The results do not show that electoral motives influenced fiscal forecasts in West German states. By contrast, East German state governments underestimated spending in pre-election years (compared to other years) by about 0.20 percent of GDP, tax revenues by about 0.36 percent of GDP, and net lending by 0.30 percent of GDP. Predicting low levels of spending and tax revenues, East German state governments thus underestimated the size of government in pre-election years.

Sprache
Englisch

Erschienen in
Series: CESifo Working Paper ; No. 6310

Klassifikation
Wirtschaft
Forecasts of Budgets, Deficits, and Debt
Business Fluctuations; Cycles
Fiscal Policy
Thema
fiscal forecasts
electoral cycles
East and West Germany

Ereignis
Geistige Schöpfung
(wer)
Kauder, Björn
Potrafke, Niklas
Schinke, Christoph
Ereignis
Veröffentlichung
(wer)
Center for Economic Studies and ifo Institute (CESifo)
(wo)
Munich
(wann)
2017

Handle
Letzte Aktualisierung
10.03.2025, 11:43 MEZ

Datenpartner

Dieses Objekt wird bereitgestellt von:
ZBW - Deutsche Zentralbibliothek für Wirtschaftswissenschaften - Leibniz-Informationszentrum Wirtschaft. Bei Fragen zum Objekt wenden Sie sich bitte an den Datenpartner.

Objekttyp

  • Arbeitspapier

Beteiligte

  • Kauder, Björn
  • Potrafke, Niklas
  • Schinke, Christoph
  • Center for Economic Studies and ifo Institute (CESifo)

Entstanden

  • 2017

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