Journal Article

Rethinking Fiscal Policy

Robert M. Solow

in Oxford Review of Economic Policy

Published on behalf of The Oxford Review of Economic Policy Ltd

Volume 21, issue 4, pages 509-514
Published in print January 2005 | ISSN: 0266-903X
Published online January 2005 | e-ISSN: 1460-2121 | DOI: http://dx.doi.org/10.1093/oxrep/gri028
Rethinking Fiscal Policy

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The use of fiscal policy as a stabilization device has all but vanished, more or less explicitly in Europe and de facto in the United States. The practical consequences have not been entirely satisfactory, in either place. So it is important and timely that the Oxford Review is devoting a special issue to the macroeconomics of fiscal policy. In this paper I want to discuss two underlying questions about the eclipse of fiscal policy. Why did this happen and was it a good idea? And if it was not a good idea, then what follows?

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Subjects: Economic Development and Growth ; Public Economics ; Political Economy ; Public Policy

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