文章基本信息

标题：On the International Dimension of Fiscal Policy
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作者：Gianluca Benigno ; Bianca De Paoli
期刊名称：CEP Discussion Paper
出版年度：2009
卷号：2009
期号：jan
出版社：Centre for Economic Performance
摘要：This paper analyses the international dimension of fiscal policy using a small open economy framework in which the government finances its spending by levying distortionary taxation and issuing non-state-contingent debt. The main finding of the paper is that, once the open economy aspect of the policy problem is considered, it is not optimal to smooth taxes following idiosyncratic shocks. Even when prices are flexible and inflation can costlessly act as a shock absorber to restore fiscal equilibrium, the presence of a terms of trade externality lead to movements in the tax rate. Also in contrast with the closed economy, the introduction of sticky prices can reduce the optimal volatility of taxes.
关键词：optimal policy, fiscal policy, small open economy