The Distributional Effects of Fiscal Consolidation
IMF Working Papers, June 21, 2013
Source details
- Canonical URL
- The Distributional Effects of Fiscal Consolidation
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Bibliographic details
- Authors: Laurence M. Ball, Davide Furceri, Daniel Leigh, Prakash Loungani
- Published: June 21, 2013
- Series: IMF Working Papers
- DOI: https://doi.org/10.5089/9781475551945.001
Summary and main findings
- The paper examines the distributional effects of fiscal consolidation using episodes of fiscal consolidation for a sample of 17 OECD countries over the period 1978–2009.
- Fiscal consolidation has typically had significant distributional effects:
- raising inequality,
- decreasing wage income shares,
- increasing long-term unemployment.
- The evidence suggests that spending-based adjustments have had, on average, larger distributional effects than tax-based adjustments.
Data and scope
- Sample: 17 OECD countries.
- Period covered: 1978–2009.
- Publication length: 24 pages.
- Series and identifiers:
- Working Paper No. 2013/151
- Volume: 2013
- Issue: 151
- DOI: https://doi.org/10.5089/9781475551945.001
- Stock No: WPIEA2013151
- ISBN: 9781475551945
- ISSN: 1018-5941
Subjects and keywords
- Subjects: Fiscal consolidation, Fiscal policy, Income, Income distribution, Income inequality, Labor, National accounts, Personal income, Unemployment.
- Keywords: budget outcome, contractionary effect, distributional effect, distributional effects, effects of fiscal consolidation, Fiscal consolidation, Global, Income, Income distribution, income inequality, income share, long-term unemployment, price boom, Unemployment, WP.
Authorship and publication
- Authors: Laurence M. Ball, Davide Furceri, Daniel Leigh, Prakash Loungani.
- Date on landing page: June 21, 2013.
- Format noted: IMF Working Papers.
IMF Working Paper No. 2013/151 (2013) by Laurence M. Ball, Davide Furceri, Daniel Leigh, and Prakash Loungani.