Pro x Counter Cyclical (Égert)

Fiscal policy reaction to the cycle in the OECD: Pro or counter-cyclical? by Balázs Égert. Discretionary fiscal policy appears to react to the cycle in a non-linear fashion: fiscal policy in countries with high public debt and high government deficits tends to be pro-cyclical…The paper also finds that asset prices have a significant impact on government balances. http://migre.me/11qwM