{
  "title": "Government Role and the Efficiency of Policy Instruments",
  "publication": "IMF Working Papers, October 1, 1995",
  "sourceUrl": "https://www.imf.org/en/publications/wp/issues/2016/12/30/government-role-and-the-efficiency-of-policy-instruments-1943",
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  "summary": "Comparisons about the role of the government in an economy are usually made by reference to the share of tax revenue or of public expenditure in gross domestic product. However, governments often use other tools for pursuing their objectives.",
  "sections": [
    {
      "heading": "Summary",
      "content": "- Comparisons about the role of the government in an economy are usually made by reference to the share of tax revenue or of public expenditure in gross domestic product.\n- Governments often use other tools for pursuing their objectives; the paper discusses these other tools, shows the extent to which they can replace the traditional fiscal instruments, and assesses their quantitative importance.\n- Various highly speculative hypotheses are advanced about the role of these other tools in countries at different levels of development."
    },
    {
      "heading": "Major themes and analysis",
      "content": "- Alternative instruments to traditional fiscal tools:\n  - The paper identifies and discusses nontraditional tools governments use to pursue objectives beyond tax revenue and public expenditure.\n  - It assesses the extent to which these other tools can substitute for traditional fiscal instruments.\n  - Quantitative importance of these other tools is evaluated (details and estimates are in the full working paper).\n- Cross-country and development-level hypotheses:\n  - The paper advances various highly speculative hypotheses about how the role of these other tools differs across countries at different levels of development.\n- Relation to public sector concepts:\n  - Topics discussed relate to Central banks, Economic sectors, Expenditure, Foreign exchange, Public sector, Quasi-fiscal operations, Revenue administration."
    },
    {
      "heading": "Key findings and emphases",
      "content": "- Emphasis on measurement beyond standard metrics:\n  - Standard comparisons based on tax revenue or public expenditure shares in GDP can miss other significant government activities.\n- Quantitative assessment objective:\n  - The author aims to show the extent and quantitative importance of nontraditional government tools relative to fiscal instruments.\n- Speculative nature of some conclusions:\n  - The paper explicitly advances \"highly speculative hypotheses\" rather than definitive assertions for cross-country differences."
    },
    {
      "heading": "Policy implications and recommendations",
      "content": "- Consider broader measurement of government role:\n  - Policymakers and analysts should consider nontraditional instruments when evaluating the government's economic role and designing reforms.\n- Analyze substitution possibilities:\n  - Assess whether alternative tools can effectively replace traditional fiscal instruments in achieving policy objectives.\n- Tailor analysis to development level:\n  - Policy assessment should account for differences in how nontraditional tools operate across countries at different development stages."
    },
    {
      "heading": "Publication and metadata",
      "content": "- Author: Vito Tanzi\n- Date: October 1, 1995\n- Series: Working Paper No. 1995/100\n- Issue: 100\n- Volume: 1995\n- Pages: 22\n- DOI: https://doi.org/10.5089/9781451852349.001\n- Stock No: WPIEA1001995\n- ISBN: 9781451852349\n- ISSN: 1018-5941\n- Subject: Central banks; Economic sectors; Expenditure; Foreign exchange; Public sector; Quasi-fiscal operations; Revenue administration\n- Keywords: country; Eastern Europe; government; government failure; government goal; government objective; government role; minimalist state; Public sector; Quasi-fiscal operations; reform of the State; role of the government; WP\n\nContent based on \"Government Role and the Efficiency of Policy Instruments\", IMF Working Papers, Vito Tanzi, October 1, 1995.\n\n---\n\n\nSource: https://www.imf.org/en/publications/wp/issues/2016/12/30/government-role-and-the-efficiency-of-policy-instruments-1943"
    }
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    "Authors: Vito Tanzi",
    "Published: October 1, 1995",
    "Series: IMF Working Papers",
    "DOI: https://doi.org/10.5089/9781451852349.001",
    "Comparisons about the role of the government in an economy are usually made by reference to the share of tax revenue or of public expenditure in gross domestic product.",
    "Governments often use other tools for pursuing their objectives; the paper discusses these other tools, shows the extent to which they can replace the traditional fiscal instruments, and assesses their quantitative importance.",
    "Various highly speculative hypotheses are advanced about the role of these other tools in countries at different levels of development.",
    "Alternative instruments to traditional fiscal tools:",
    "Cross-country and development-level hypotheses:",
    "Relation to public sector concepts:",
    "Emphasis on measurement beyond standard metrics:",
    "Quantitative assessment objective:",
    "Speculative nature of some conclusions:",
    "Consider broader measurement of government role:",
    "Analyze substitution possibilities:",
    "Tailor analysis to development level:",
    "Author: Vito Tanzi",
    "Date: October 1, 1995",
    "Series: Working Paper No. 1995/100",
    "Issue: 100",
    "Volume: 1995",
    "Pages: 22",
    "DOI: https://doi.org/10.5089/9781451852349.001",
    "Stock No: WPIEA1001995",
    "ISBN: 9781451852349",
    "ISSN: 1018-5941",
    "Subject: Central banks; Economic sectors; Expenditure; Foreign exchange; Public sector; Quasi-fiscal operations; Revenue administration",
    "Keywords: country; Eastern Europe; government; government failure; government goal; government objective; government role; minimalist state; Public sector; Quasi-fiscal operations; reform of the State; role of the government; WP"
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