Arbeitspapier
The determinants of public deficit volatility
This paper empirically analyzes the political, institutional and economic sources of public deficit volatility. Using the system-GMM estimator for linear dynamic panel data models and a sample of 125 countries analyzed from 1980 to 2006, we show that higher public deficit volatility is typically associated with higher levels of political instability and less democracy. In addition, public deficit volatility tends to be magnified for small countries, in the outcome of hyper-inflation episodes and for countries with a high degree of openness.
- Language
-
Englisch
- Bibliographic citation
-
Series: ECB Working Paper ; No. 1042
- Classification
-
Wirtschaft
Price Level; Inflation; Deflation
Comparative or Joint Analysis of Fiscal and Monetary Policy; Stabilization; Treasury Policy
- Subject
-
institutions
political instability
public deficit
Volatility
Haushaltsdefizit
Volatilität
Politische Instabilität
Demokratie
Institutionelle Infrastruktur
Momentenmethode
Welt
- Event
-
Geistige Schöpfung
- (who)
-
Agnello, Luca
Sousa, Ricardo M.
- Event
-
Veröffentlichung
- (who)
-
European Central Bank (ECB)
- (where)
-
Frankfurt a. M.
- (when)
-
2009
- Handle
- Last update
-
10.03.2025, 11:43 AM CET
Data provider
This object is provided by:
ZBW - Deutsche Zentralbibliothek für Wirtschaftswissenschaften - Leibniz-Informationszentrum Wirtschaft. If you have any questions about the object, please contact the data provider.
ZBW - Deutsche Zentralbibliothek für Wirtschaftswissenschaften - Leibniz-Informationszentrum Wirtschaft. If you have any questions about the object, please contact the data provider.
Object type
- Arbeitspapier
Associated
- Agnello, Luca
- Sousa, Ricardo M.
- European Central Bank (ECB)
Time of origin
- 2009
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