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Debt under control (Baldacci, Gupta and Mulas-Granados)

Getting debt under control by Emanuele Baldacci, Sanjeev Gupta and Carlos Mulas-Granados, published by IMF.”Reducing public debt after the recent financial crisis will likely be particularly challenging…What is a desirable debt level for these countries to ensure fiscal sustainability? This is a difficult question to answer: the target must take into account country-specific considerations concerning sustainable debt in light of fiscal policies, demographics and unfunded entitlements, as well as long-term interest rates and output growth rates.”

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