Fiscal Deficits (Monitor IMF)

Presented at the XXIV Regional Seminar on Fiscal Policy, the analysis As downside risks rise, fiscal policy has to walk a narrow path by Fiscal Monitor published by IMF. “Deficits in many advanced economies fell significantly during 2011, and most plan substantial adjustment this year. Continued adjustmente is necessary for medium-term debt sustainability, but should ideally occur at a pace that supports adequate growth in output and employment.”