Budget Deficits and Budget Institutions
43 Pages Posted: 28 Jun 1998 Last revised: 9 Mar 2022
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Budget Deficits and Budget Institutions
Date Written: May 1996
Abstract
By discussing the available theoretical and empirical literature, this paper argues that budget procedures and budget institutions do influence budget outcomes. Budget institutions include both procedural rules and balanced budget laws. We critically assess theoretical contributions in this area and suggest several open and unresolved issues. We also examine the empirical evidence drawn from studies on samples of OECD countries, Latin American countries and US states.
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