Internalizing Cross-Border Spillovers
Policy Options for Addressing Long-Term Fiscal Challenges
This chapter examines policy options for addressing long-term fiscal challenges in the field of public finance. It discusses policy reforms that address both the aggregate financial issues and content of specific government policies and proposes concrete steps in response to political economy considerations. It contends that governments have an important domestic responsibility to take account of long-term risks by considering both the current aggregative fiscal policy stance and the specifics of policy and transfer programs.
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