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- W2098862807 abstract "Fiscal watchdogs, so-called fiscal councils, have been proposed as a method to counter deficit bias of fiscal policy. The paper analyses theoretically what role fiscal councils could play and surveys empirically the activities of existing councils. Case studies of the Swedish Fiscal Policy Council and the UK Office for Budget Responsibility are done. It is concluded that fiscal councils should be advisory, rather than decision-making, and work as complements, rather than substitutes, to fiscal rules. Although no panacea, fiscal councils could play a useful role by at the same time strengthening fiscal discipline and allowing rules-based fiscal policy to be more flexible. A key issue is their political fragility and how their long-run viability should be secured. Three ways of guaranteeing their independence are suggested: (1) reputation-building; (2) formal national rules; and (3) international monitoring. — Lars Calmfors and Simon Wren-Lewis" @default.
- W2098862807 created "2016-06-24" @default.
- W2098862807 creator A5024645713 @default.
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- W2098862807 date "2011-10-01" @default.
- W2098862807 modified "2023-10-13" @default.
- W2098862807 title "What should fiscal councils do?" @default.
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- W2098862807 doi "https://doi.org/10.1111/j.1468-0327.2011.00273.x" @default.
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