Some Algebra of Fiscal Transparency : How Accounting Devices Work and How to Reveal Them

Author/Editor: Timothy Irwin
Publication Date: September 01, 2012
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Disclaimer: This Working Paper should not be reported as representing the views of the IMF. The views expressed in this Working Paper are those of the author(s) and do not necessarily represent those of the IMF or IMF policy. Working Papers describe research in progress by the author(s) and are published to elicit comments and to further debate
Summary: Accounting devices that artificially reduce the measured fiscal deficit can be analyzed as transactions involving unrecognized assets and liabilities. Different accounting systems recognize different sets of assets and liabilities and are thus vulnerable to different sets of devices. Some devices can be revealed by moving progressively from cash accounting to modified accrual accounting to full accrual accounting. Revealing all would require the publication of extended fiscal accounts in which all future cash flows give rise to assets or liabilities.
Series: Working Paper No. 12/228
Subject(s): Budget deficits | Fiscal transparency | Government accounting

Author's Keyword(s): government accounting | budget deficits | accounting devices.
Publication Date: September 01, 2012
ISBN/ISSN: 9781475510577/1018-5941 Format: Paper
Stock No: WPIEA2012228 Pages: 19
US$18.00 (Academic Rate:
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