User:Nick Gardner /Sandbox: Difference between revisions
Jump to navigation
Jump to search
imported>Nick Gardner No edit summary |
imported>Nick Gardner No edit summary |
||
| Line 1: | Line 1: | ||
<!-- | <!-- | ||
==Sustainability adjustments== | |||
The primary budget balance (as a percentage of gdp) required to avoid an increase in the [[public debt]] is given by f = d(g - r) where r is the annual interest rate on the debt; and g is the annual growth rate of nominal GDP (See [[Fiscal policy/Tutorials#The debt trap identity|the debt trap identity]]) | |||
:::{|class = "wikitable" | |||
| | |||
! Portugal | |||
! Ireland | |||
! Italy | |||
! Greece | |||
! Spain | |||
|- | |||
| (g - r) 2003-2007 | |||
|align="center"| -0.2 | |||
|align="center"| 2.2 | |||
|align="center"| -0.7 | |||
|align="center"| 3.9 | |||
|align="center"| 1.7 | |||
|- | |||
| (g - r) 2009-2011 | |||
|align="center"| -3.3 | |||
|align="center"| -5.3 | |||
|align="center"| -3.6 | |||
|align="center"| -6.0 | |||
|align="center"| -2.3 | |||
|- | |||
| Budget adjustment to achieve sustainability (% of GDP) | |||
|align="center"| 3.1 | |||
|align="center"| 7.5 | |||
|align="center"| 2.9 | |||
|align="center"| 9.9 | |||
|align="center"| 4.0 | |||
|} | |||
Source: Cinzia Alcidi and Daniel GrosIs: ''Is Greece different? Adjustment difficulties in southern Europe'', Vox, 22 April 2010[http://www.voxeu.org/index.php?q=node/4914] | |||
===Policy toward Greece=== | ===Policy toward Greece=== | ||