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Hardcover | Out of Print | 364 pp. | 5.9 x 8.9 in | November 1988 | ISBN: 9780262081726
Paperback | Out of Stock | 364 pp. | 5.9 x 8.9 in | November 1988 | ISBN: 9780262580908
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Economic Effects of the Government Budget


The effects of a government's budget on society and the political economy are of considerable concern to economists as well as to consumers and taxpayers. The original contributions in this book analyze all of the budget's components expenditures, revenues, the deficit - with a special emphasis on issues that have assumed increasing importance over the last decade or so, such as intergenerational transfers of debt and declines in corporate tax revenues.Chapters deal with both microeconomic and macroeconomic aspects of the effects of budgets, and demonstrate how budgetary policies affect inflation, efficiency, the balance of payments, exchange rates, and the decision-making process.The contributions are grouped into five sections. The first covers the revenue side of the budget - taxation policy and its interaction with emigration, corporate tax revenues, personal income taxes, and fiscal policies. The second takes up intergenerational transfers, consumption decisions, and Ricardian equivalence and neutrality. Budget deficits and optimal policies, inflation and its relationship to budget deficits are examined in parts three and four.The book concludes by looking at stabilization in open economies, and includes treatments of the consequences of balance-of-payments crises, exchange rate management under uncertainty, and foreign exchange operations.Elhanan Helpman, Assaf Razin, and Efraim Sadka are professors of economics at Tel-Aviv University.

About the Editors

Elhanan Helpman is Professor of Economics at Harvard University, the Archie Sherman Chair Professor of International Economic Relations in the Eitan Berglas School of Economics at Tel-Aviv University, and a Fellow at the Canadian Institute for Advanced Research.

Assaf Razin is a former Professor at Cornell University, Emeritus Professor at the Eitan Berglas School of Economics at Tel Aviv University, and Research Fellow at the NBER, CEPR, and CESifo. He is the author of Understanding Global Crises: An Emerging Paradigm and a coauthor of, among other books, The Decline of the Welfare State: Demography and Globalization and Migration and the Welfare State: Political-Economy Policy Formation, all published by the MIT Press. He is the recipient of the 2017 EMET Prize in Economics.