tag:blogger.com,1999:blog-2499715909956774229.post2735426935474045260..comments2024-03-22T22:37:02.639-07:00Comments on Stephen Williamson: New Monetarist Economics: Fiscal Policy: Addendum to "Christina Romer..."Stephen Williamsonhttp://www.blogger.com/profile/01434465858419028592noreply@blogger.comBlogger4125tag:blogger.com,1999:blog-2499715909956774229.post-62998117506101145022010-10-25T15:52:50.890-07:002010-10-25T15:52:50.890-07:00Anonymous,
Yes, Canada did a major fiscal reform ...Anonymous,<br /><br />Yes, Canada did a major fiscal reform in the 1990s with a majority government, which is certainly consistent with that.Stephen Williamsonhttps://www.blogger.com/profile/01434465858419028592noreply@blogger.comtag:blogger.com,1999:blog-2499715909956774229.post-73765272680904816802010-10-25T14:59:16.118-07:002010-10-25T14:59:16.118-07:00Alesina and Drazen had a paper about 20 years ago,...Alesina and Drazen had a paper about 20 years ago, called "Why Are Fiscal Stabilizations Delayed"? Roughly, the nature of political institutions is a key determinant in their model. So Britain, with its relatively unified parliamentary system and first-past-the-post elections can act more like a social welfare maximizer. But the US with its more fragmented system and gridlock cannot agree how to share the pain of fiscal stabilization.<br />Also, countries with greater fragmentation are more likely to resort to inflation tax.<br /><br />peAnonymousnoreply@blogger.comtag:blogger.com,1999:blog-2499715909956774229.post-12002359235808933272010-10-25T11:53:54.526-07:002010-10-25T11:53:54.526-07:00Have you heard anyone say "there is no free l...Have you heard anyone say "there is no free lunch?"Stephen Williamsonhttps://www.blogger.com/profile/01434465858419028592noreply@blogger.comtag:blogger.com,1999:blog-2499715909956774229.post-52843484296021175702010-10-25T09:38:32.208-07:002010-10-25T09:38:32.208-07:00I think the problem is just one: Keynesian solutio...I think the problem is just one: Keynesian solutions are...good for people (you know, fiscal stymulus = more jobs blablabla)...good for people so good for elections....so if you wanna be popular, you have to be Keynesian -.-" that's all...Mattia Poletti (Rebel Ekonomist)https://www.blogger.com/profile/11429980647368423889noreply@blogger.com