Carlos García, Jorge Restrepo, Evan Tanner.
Journal of Policy Modeling.
2011.
It is widely agreed that a fiscal rule should boost discipline and credibility. A rule should also reduce macroeconomic volatility and be easily understood. Toward such ends,a government may run structural surpluses. In so doing,the government accumulates a precautionary cushion of assets on behalf of agents who do not enjoy access to capital markets. As an additional criterion,that level of….