Inge Kaul and Pedro Conceiçāo
- Published in print:
- 2006
- Published Online:
- October 2011
- ISBN:
- 9780195179972
- eISBN:
- 9780199850709
- Item type:
- chapter
- Publisher:
- Oxford University Press
- DOI:
- 10.1093/acprof:oso/9780195179972.003.0001
- Subject:
- Economics and Finance, International
This chapter discusses the reasons for studying and revisiting public finance. It explains that the reengineering of public finance in response to the rebalancing of markets and states has brought a ...
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This chapter discusses the reasons for studying and revisiting public finance. It explains that the reengineering of public finance in response to the rebalancing of markets and states has brought a host of changes to public financial management and has also led to the emergence of various issues affecting public finance including contracting out, private solutions to externalities and private financing of public sector projects. In addition, globalization has also led to greater scrutiny and more international debates concerning modes of public finance.Less
This chapter discusses the reasons for studying and revisiting public finance. It explains that the reengineering of public finance in response to the rebalancing of markets and states has brought a host of changes to public financial management and has also led to the emergence of various issues affecting public finance including contracting out, private solutions to externalities and private financing of public sector projects. In addition, globalization has also led to greater scrutiny and more international debates concerning modes of public finance.
Inge Kaul and Pedro Conceiçāo
- Published in print:
- 2006
- Published Online:
- October 2011
- ISBN:
- 9780195179972
- eISBN:
- 9780199850709
- Item type:
- chapter
- Publisher:
- Oxford University Press
- DOI:
- 10.1093/acprof:oso/9780195179972.003.0002
- Subject:
- Economics and Finance, International
This chapter examines the changes in public finance brought about by globalization and financing global challenges. Nationally, public finance has taken on a new function in fostering a pattern of ...
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This chapter examines the changes in public finance brought about by globalization and financing global challenges. Nationally, public finance has taken on a new function in fostering a pattern of public and private spending to support the blending of external and domestic policy preferences or putting international cooperation behind national borders. In the international sector, economic rationales have become intertwined with foreign policy goals engendering new modes of public finance.Less
This chapter examines the changes in public finance brought about by globalization and financing global challenges. Nationally, public finance has taken on a new function in fostering a pattern of public and private spending to support the blending of external and domestic policy preferences or putting international cooperation behind national borders. In the international sector, economic rationales have become intertwined with foreign policy goals engendering new modes of public finance.
Iain Mclean and Alistair McMillan
- Published in print:
- 2005
- Published Online:
- February 2006
- ISBN:
- 9780199258208
- eISBN:
- 9780191603334
- Item type:
- chapter
- Publisher:
- Oxford University Press
- DOI:
- 10.1093/0199258201.003.0010
- Subject:
- Political Science, UK Politics
In both the 1707 and 1800 Unions, a poor country was joined to a rich one, therefore the tax potential per head in the expanded Union declined. However, until the 1880s, governments spent money ...
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In both the 1707 and 1800 Unions, a poor country was joined to a rich one, therefore the tax potential per head in the expanded Union declined. However, until the 1880s, governments spent money mostly on public goods, which did not raise the issue that taxes were raised in rich areas and spent in poor ones. Distributive politics of this sort began when governments started to spend money on schools and crofters — the 1870s and 1880s. The first public spending formula for the territories is due to Chancellor George Goschen in 1888. The formula that is current (although under great strain) was devised by Chief Secretary Joel Barnett and his officials in 1978.Less
In both the 1707 and 1800 Unions, a poor country was joined to a rich one, therefore the tax potential per head in the expanded Union declined. However, until the 1880s, governments spent money mostly on public goods, which did not raise the issue that taxes were raised in rich areas and spent in poor ones. Distributive politics of this sort began when governments started to spend money on schools and crofters — the 1870s and 1880s. The first public spending formula for the territories is due to Chancellor George Goschen in 1888. The formula that is current (although under great strain) was devised by Chief Secretary Joel Barnett and his officials in 1978.
Douglas Wass
- Published in print:
- 2008
- Published Online:
- May 2008
- ISBN:
- 9780199534746
- eISBN:
- 9780191715884
- Item type:
- chapter
- Publisher:
- Oxford University Press
- DOI:
- 10.1093/acprof:oso/9780199534746.003.0003
- Subject:
- Economics and Finance, Economic History
This chapter describes the evolution of economic policy in the face of a deteriorating situation. It shows how early in 1975 the Treasury came to recognize that a significant shift of policy was ...
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This chapter describes the evolution of economic policy in the face of a deteriorating situation. It shows how early in 1975 the Treasury came to recognize that a significant shift of policy was required involving a sharp break in hitherto established practice. It describes the important role which financial markets were now playing in the behaviour of the economic variables and shows that what was required was a big improvement in public finances, a determined attack on inflation, and suitable measures to restore equilibrium in the balance of payments. The chapter reveals growing tensions within the Cabinet over the course of policy and its relevance to the economic slump, which was now afflicting the economy. These tensions were acute in the area of policy to deal with wage inflation and the chapter goes into detail how this issue was eventually resolved in a vigorous reinforcement of the Social Contract. Public expenditure continued to be a dominant issue for the Treasury and this concern was reinforced at the end of 1975 when the UK sought a relatively small drawing from the IMF — a step which brought the public finances to the forefront.Less
This chapter describes the evolution of economic policy in the face of a deteriorating situation. It shows how early in 1975 the Treasury came to recognize that a significant shift of policy was required involving a sharp break in hitherto established practice. It describes the important role which financial markets were now playing in the behaviour of the economic variables and shows that what was required was a big improvement in public finances, a determined attack on inflation, and suitable measures to restore equilibrium in the balance of payments. The chapter reveals growing tensions within the Cabinet over the course of policy and its relevance to the economic slump, which was now afflicting the economy. These tensions were acute in the area of policy to deal with wage inflation and the chapter goes into detail how this issue was eventually resolved in a vigorous reinforcement of the Social Contract. Public expenditure continued to be a dominant issue for the Treasury and this concern was reinforced at the end of 1975 when the UK sought a relatively small drawing from the IMF — a step which brought the public finances to the forefront.
Jan‐Erik Lane, David McKay, and Kenneth Newton
- Published in print:
- 1996
- Published Online:
- January 2005
- ISBN:
- 9780198280538
- eISBN:
- 9780191601934
- Item type:
- chapter
- Publisher:
- Oxford University Press
- DOI:
- 10.1093/019828053X.003.0006
- Subject:
- Political Science, Reference
This section presents public finance statistics for OECD countries. It features tables on taxes, social security contributions, government final consumption, current disbursements and receipts, ...
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This section presents public finance statistics for OECD countries. It features tables on taxes, social security contributions, government final consumption, current disbursements and receipts, transfers, social expenditures, educational expenditures, military expenditures, official development assistance, and deficits.Less
This section presents public finance statistics for OECD countries. It features tables on taxes, social security contributions, government final consumption, current disbursements and receipts, transfers, social expenditures, educational expenditures, military expenditures, official development assistance, and deficits.
Max. M Edling
- Published in print:
- 2003
- Published Online:
- January 2005
- ISBN:
- 9780195148701
- eISBN:
- 9780199835096
- Item type:
- chapter
- Publisher:
- Oxford University Press
- DOI:
- 10.1093/0195148703.003.0014
- Subject:
- Political Science, American Politics
Shows how the Federalists responded to the Antifederalist objections to a stronger national government in the “fiscal‐military” sphere, thereby creating an understanding of the kind of state that was ...
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Shows how the Federalists responded to the Antifederalist objections to a stronger national government in the “fiscal‐military” sphere, thereby creating an understanding of the kind of state that was proper to American conditions. In the debate over ratification of the US Constitution there was little discussion about the exact way in which the Federalists intended to organize the revenue administration, but nevertheless, it is the argument of this chapter that with the important exception of the assumption of the state debts, the general outline of Hamiltonian public finance was in place in 1787, and widely shared by the supporters of the Constitution. Thus, the idea that the least oppressive tax was also the most productive, the claim that adoption of the Constitution would mean a change in the structure of taxation from direct to indirect taxes and a reliance on the impost (customs duties), and the ideal of the federal government as a “waterfront state” hardly noticed by the people, were all among the most important points made in Federalist rhetoric on the fiscal powers of the Constitution. In the ratifying debate, the Federalists presented a solution to the equation of how to create a sufficiently powerful government without making unacceptable demands on society: the federal government had the right to mobilize the full resources of society at will, but in peacetime it would keep a very low profile while assuming the payment of the union's debts and the cost of defense using money raised by taxation. This federal assumption of expenses that had earlier been carried by the states, and the mode of raising the taxes to pay for it ensured that overall taxation would not increase, as the Antifederalists claimed, but would become less burdensome to the majority of the people.Less
Shows how the Federalists responded to the Antifederalist objections to a stronger national government in the “fiscal‐military” sphere, thereby creating an understanding of the kind of state that was proper to American conditions. In the debate over ratification of the US Constitution there was little discussion about the exact way in which the Federalists intended to organize the revenue administration, but nevertheless, it is the argument of this chapter that with the important exception of the assumption of the state debts, the general outline of Hamiltonian public finance was in place in 1787, and widely shared by the supporters of the Constitution. Thus, the idea that the least oppressive tax was also the most productive, the claim that adoption of the Constitution would mean a change in the structure of taxation from direct to indirect taxes and a reliance on the impost (customs duties), and the ideal of the federal government as a “waterfront state” hardly noticed by the people, were all among the most important points made in Federalist rhetoric on the fiscal powers of the Constitution. In the ratifying debate, the Federalists presented a solution to the equation of how to create a sufficiently powerful government without making unacceptable demands on society: the federal government had the right to mobilize the full resources of society at will, but in peacetime it would keep a very low profile while assuming the payment of the union's debts and the cost of defense using money raised by taxation. This federal assumption of expenses that had earlier been carried by the states, and the mode of raising the taxes to pay for it ensured that overall taxation would not increase, as the Antifederalists claimed, but would become less burdensome to the majority of the people.
Timothy Besley and Torsten Persson
- Published in print:
- 2011
- Published Online:
- October 2017
- ISBN:
- 9780691152684
- eISBN:
- 9781400840526
- Item type:
- chapter
- Publisher:
- Princeton University Press
- DOI:
- 10.23943/princeton/9780691152684.003.0002
- Subject:
- Economics and Finance, History of Economic Thought
This chapter explores the forces that shape investments in fiscal capacity. It sets out a core model that shows how this aspect of state building is influenced by economic and political factors, such ...
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This chapter explores the forces that shape investments in fiscal capacity. It sets out a core model that shows how this aspect of state building is influenced by economic and political factors, such as common interests and political institutions. A key feature of the model has been to delineate the types of states that can emerge in equilibrium. It also shows that the model can be given microeconomic foundations and demonstrates how it can be extended in a number of directions that lead to more realism. The main focus of the chapter has been on the extractive role of government and on some of the issues raised in traditional public-finance models. This has laid the groundwork for the analyses to come.Less
This chapter explores the forces that shape investments in fiscal capacity. It sets out a core model that shows how this aspect of state building is influenced by economic and political factors, such as common interests and political institutions. A key feature of the model has been to delineate the types of states that can emerge in equilibrium. It also shows that the model can be given microeconomic foundations and demonstrates how it can be extended in a number of directions that lead to more realism. The main focus of the chapter has been on the extractive role of government and on some of the issues raised in traditional public-finance models. This has laid the groundwork for the analyses to come.
Inge Kaul
- Published in print:
- 2006
- Published Online:
- October 2011
- ISBN:
- 9780195179972
- eISBN:
- 9780199850709
- Item type:
- chapter
- Publisher:
- Oxford University Press
- DOI:
- 10.1093/acprof:oso/9780195179972.003.0003
- Subject:
- Economics and Finance, International
This chapter explores the rise of the state as intermediary in public finance and its new role in blending external and domestic policy demands. It describes a model of the state underpinning ...
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This chapter explores the rise of the state as intermediary in public finance and its new role in blending external and domestic policy demands. It describes a model of the state underpinning mainstream public finance theory and analyzes the external policy expectations facing the state. It identifies the discrepancies between the state's role in public finance theory and in actual policy practices and determines the areas in which public finance theory might need to better reflect the new, broadened role of the state.Less
This chapter explores the rise of the state as intermediary in public finance and its new role in blending external and domestic policy demands. It describes a model of the state underpinning mainstream public finance theory and analyzes the external policy expectations facing the state. It identifies the discrepancies between the state's role in public finance theory and in actual policy practices and determines the areas in which public finance theory might need to better reflect the new, broadened role of the state.
Maurice Wright
- Published in print:
- 2002
- Published Online:
- October 2011
- ISBN:
- 9780199250530
- eISBN:
- 9780191697937
- Item type:
- chapter
- Publisher:
- Oxford University Press
- DOI:
- 10.1093/acprof:oso/9780199250530.003.0012
- Subject:
- Political Science, Political Economy
Japan's Fiscal Investment Loan Programme (FILP), also known as the second budget, was a policy-based public finance system through which traditionally the national government transmitted the ...
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Japan's Fiscal Investment Loan Programme (FILP), also known as the second budget, was a policy-based public finance system through which traditionally the national government transmitted the accumulated savings of small investors to dedicated governmental and quasi-governmental organizations for investment in projects and programmes designed to achieve prescribed national economic and social (and party political) objectives. Since its inception in 1953, FILP has been characterized, first, by the unique source of its funds, and the control of their allocation by the Ministry of Finance for the development of economic, industrial, and social infrastructure; second, by the methods of financing capital projects and programmes through investments, loans, and the underwriting of bonds issued by a number of eligible national, regional, and local organizations; and, third, by the provision of loans and subsidies to some Special Accounts, and the General Account Budget itself.Less
Japan's Fiscal Investment Loan Programme (FILP), also known as the second budget, was a policy-based public finance system through which traditionally the national government transmitted the accumulated savings of small investors to dedicated governmental and quasi-governmental organizations for investment in projects and programmes designed to achieve prescribed national economic and social (and party political) objectives. Since its inception in 1953, FILP has been characterized, first, by the unique source of its funds, and the control of their allocation by the Ministry of Finance for the development of economic, industrial, and social infrastructure; second, by the methods of financing capital projects and programmes through investments, loans, and the underwriting of bonds issued by a number of eligible national, regional, and local organizations; and, third, by the provision of loans and subsidies to some Special Accounts, and the General Account Budget itself.
Barrett Scott
- Published in print:
- 2006
- Published Online:
- October 2011
- ISBN:
- 9780195179972
- eISBN:
- 9780199850709
- Item type:
- chapter
- Publisher:
- Oxford University Press
- DOI:
- 10.1093/acprof:oso/9780195179972.003.0014
- Subject:
- Economics and Finance, International
This chapter examines the provision of transnational public goods, with a special focus on identifying when these goods require international cooperation and when strategic manipulation of incentive ...
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This chapter examines the provision of transnational public goods, with a special focus on identifying when these goods require international cooperation and when strategic manipulation of incentive structures is needed to motivate provision. It aims to show that positive incentives can encourage international cooperation. The findings reveal that the best shot and weakest link public goods are less likely than summation public goods to be underprovided, and that the cooperation strategy required for adequate provision of the transnational good may vary from that required for decisions about how to share the costs of pooled international incentive mechanisms.Less
This chapter examines the provision of transnational public goods, with a special focus on identifying when these goods require international cooperation and when strategic manipulation of incentive structures is needed to motivate provision. It aims to show that positive incentives can encourage international cooperation. The findings reveal that the best shot and weakest link public goods are less likely than summation public goods to be underprovided, and that the cooperation strategy required for adequate provision of the transnational good may vary from that required for decisions about how to share the costs of pooled international incentive mechanisms.
Inge Kaul and Pedro Conceiçāo
- Published in print:
- 2006
- Published Online:
- October 2011
- ISBN:
- 9780195179972
- eISBN:
- 9780199850709
- Item type:
- chapter
- Publisher:
- Oxford University Press
- DOI:
- 10.1093/acprof:oso/9780195179972.003.0023
- Subject:
- Economics and Finance, International
This chapter examines the coordination and attribution problems of regional public goods in developing country regions. It explains that underfunding in these regions may be attributed to the lack of ...
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This chapter examines the coordination and attribution problems of regional public goods in developing country regions. It explains that underfunding in these regions may be attributed to the lack of national and regional capacity to coordinate, the traditional country focus on current foreign aid systems, and the absence of both strong recipient-country demand and donor self-interest. It stresses the importance of addressing these issues in accelerating development and fostering global progress and development.Less
This chapter examines the coordination and attribution problems of regional public goods in developing country regions. It explains that underfunding in these regions may be attributed to the lack of national and regional capacity to coordinate, the traditional country focus on current foreign aid systems, and the absence of both strong recipient-country demand and donor self-interest. It stresses the importance of addressing these issues in accelerating development and fostering global progress and development.
Robin Boadway
- Published in print:
- 2004
- Published Online:
- January 2005
- ISBN:
- 9780199278558
- eISBN:
- 9780191601590
- Item type:
- chapter
- Publisher:
- Oxford University Press
- DOI:
- 10.1093/0199278555.003.0011
- Subject:
- Economics and Finance, Development, Growth, and Environmental
This chapter, together with chs. 2 and 10, approaches the question of development funding in a theoretical way, rather than by examining individual proposals for sources. One purpose of the book is ...
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This chapter, together with chs. 2 and 10, approaches the question of development funding in a theoretical way, rather than by examining individual proposals for sources. One purpose of the book is to bring to bear on this accumulated knowledge in the field of national public finance, and more generally public economics. This chapter looks at the lessons to be learned from the fiscal federalism literature. It highlights some of the similarities and some of the differences between fiscal institutions in federations and those that might apply in a global setting, and draws a number of conclusions about sources of new revenues for development, dealing specifically with taxes on nations, taxes on global externalities, and taxes on internationally mobile tax bases. The three main sections of the chapter look at: revenue‐raising in a federal setting – assignment of revenue‐raising authority, intergovernmental transfers, cooperative behaviour by subnational governments, and freeriding by subnational governments; revenue‐raising in federations with no central government – non‐cooperative and cooperative subnational redistribution; and the implications for global revenue sources – taxes on nations (a global equalisation scheme), taxes on international externalities, and taxes on internationally mobile tax bases.Less
This chapter, together with chs. 2 and 10, approaches the question of development funding in a theoretical way, rather than by examining individual proposals for sources. One purpose of the book is to bring to bear on this accumulated knowledge in the field of national public finance, and more generally public economics. This chapter looks at the lessons to be learned from the fiscal federalism literature. It highlights some of the similarities and some of the differences between fiscal institutions in federations and those that might apply in a global setting, and draws a number of conclusions about sources of new revenues for development, dealing specifically with taxes on nations, taxes on global externalities, and taxes on internationally mobile tax bases. The three main sections of the chapter look at: revenue‐raising in a federal setting – assignment of revenue‐raising authority, intergovernmental transfers, cooperative behaviour by subnational governments, and freeriding by subnational governments; revenue‐raising in federations with no central government – non‐cooperative and cooperative subnational redistribution; and the implications for global revenue sources – taxes on nations (a global equalisation scheme), taxes on international externalities, and taxes on internationally mobile tax bases.
Timothy Besley
- Published in print:
- 2007
- Published Online:
- October 2011
- ISBN:
- 9780199283910
- eISBN:
- 9780191700279
- Item type:
- chapter
- Publisher:
- Oxford University Press
- DOI:
- 10.1093/acprof:oso/9780199283910.003.0004
- Subject:
- Economics and Finance, Public and Welfare
This chapter applies the political agency model to public finance issues. Section 4.2 lays out the basic agency problem and the main assumptions. Section 4.3 identifies the three basic kinds of ...
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This chapter applies the political agency model to public finance issues. Section 4.2 lays out the basic agency problem and the main assumptions. Section 4.3 identifies the three basic kinds of agency model. The first has purely hidden type, the second only hidden action, and the third both features. Section 4.4 draws out some implications of the model for the data. Section 4.5 uses the model to discuss a variety of means for restraining government: explicit restraints on taxation, tax competition, increased transparency, and yardstick competition. The model is then extended to include public debt. If public debt is observable, then the model and its insights remain unchanged. However, difficulties in observing public debt levels do create a rather different spin on the model. This is discussed in Section 4.6. Section 4.7 applies the ideas to whether an NGO is a more efficient provider of public spending. Section 4.8 looks at what happens if it is fiscal competence that is not observed and Section 4.9 provides conclusions.Less
This chapter applies the political agency model to public finance issues. Section 4.2 lays out the basic agency problem and the main assumptions. Section 4.3 identifies the three basic kinds of agency model. The first has purely hidden type, the second only hidden action, and the third both features. Section 4.4 draws out some implications of the model for the data. Section 4.5 uses the model to discuss a variety of means for restraining government: explicit restraints on taxation, tax competition, increased transparency, and yardstick competition. The model is then extended to include public debt. If public debt is observable, then the model and its insights remain unchanged. However, difficulties in observing public debt levels do create a rather different spin on the model. This is discussed in Section 4.6. Section 4.7 applies the ideas to whether an NGO is a more efficient provider of public spending. Section 4.8 looks at what happens if it is fiscal competence that is not observed and Section 4.9 provides conclusions.
Saori N. Katada and Gene Park
- Published in print:
- 1953
- Published Online:
- May 2016
- ISBN:
- 9781479889389
- eISBN:
- 9781479830893
- Item type:
- chapter
- Publisher:
- NYU Press
- DOI:
- 10.18574/nyu/9781479889389.003.0008
- Subject:
- Sociology, Economic Sociology
Japan has the highest gross public debt in the industrialized world. Private financial institutions and the central bank–the Bank of Japan–have helped the government finance its debt over the years. ...
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Japan has the highest gross public debt in the industrialized world. Private financial institutions and the central bank–the Bank of Japan–have helped the government finance its debt over the years. Thus, the public and private spheres have grown mutually interdependent. This chapter explores how this relationship has evolved, and the risk posed to Japan’s economy by its increasingly dire fiscal position. Over the short-term, the Japanese government should be able to manage these risks, but longer term trends including demographic changes and the need to rely on greater foreign funding will require a commitment to fiscal consolidation.Less
Japan has the highest gross public debt in the industrialized world. Private financial institutions and the central bank–the Bank of Japan–have helped the government finance its debt over the years. Thus, the public and private spheres have grown mutually interdependent. This chapter explores how this relationship has evolved, and the risk posed to Japan’s economy by its increasingly dire fiscal position. Over the short-term, the Japanese government should be able to manage these risks, but longer term trends including demographic changes and the need to rely on greater foreign funding will require a commitment to fiscal consolidation.
Michael Veseth
- Published in print:
- 1991
- Published Online:
- October 2011
- ISBN:
- 9780195064209
- eISBN:
- 9780199854998
- Item type:
- chapter
- Publisher:
- Oxford University Press
- DOI:
- 10.1093/acprof:oso/9780195064209.003.0006
- Subject:
- Economics and Finance, Economic History
This chapter focuses specifically on how fiscal crisis and public finance unintentionally promoted structural rigidity and relative decline at the end of the nineteenth century. Victorian Britain was ...
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This chapter focuses specifically on how fiscal crisis and public finance unintentionally promoted structural rigidity and relative decline at the end of the nineteenth century. Victorian Britain was the avowed embodiment of “laissez-faire” economics. Government in nineteenth-century Britain followed the teachings of Adam Smith and sought to minimize its interference in the work of the invisible hand of the marketplace. British government intended to have little influence on the day-to-day actions of its private economy. The chapter states that the British system of public finance contributed to the ultimate decline of Victorian Britain in the sort of indirect, unintended way just suggested. British public finance was certainly not the cause of the economic stagnation of the late nineteenth century, but this chapter argues that the patterns established by government finance logically contributed to this economic stagnation in a significant way.Less
This chapter focuses specifically on how fiscal crisis and public finance unintentionally promoted structural rigidity and relative decline at the end of the nineteenth century. Victorian Britain was the avowed embodiment of “laissez-faire” economics. Government in nineteenth-century Britain followed the teachings of Adam Smith and sought to minimize its interference in the work of the invisible hand of the marketplace. British government intended to have little influence on the day-to-day actions of its private economy. The chapter states that the British system of public finance contributed to the ultimate decline of Victorian Britain in the sort of indirect, unintended way just suggested. British public finance was certainly not the cause of the economic stagnation of the late nineteenth century, but this chapter argues that the patterns established by government finance logically contributed to this economic stagnation in a significant way.
Inge Kaul and Pedro Conceiçāo
- Published in print:
- 2006
- Published Online:
- October 2011
- ISBN:
- 9780195179972
- eISBN:
- 9780199850709
- Item type:
- chapter
- Publisher:
- Oxford University Press
- DOI:
- 10.1093/acprof:oso/9780195179972.003.0021
- Subject:
- Economics and Finance, International
This chapter discusses the rationale for multilateral lending. It describes three types of multilateral lending including countercyclical provision of liquidity to meet temporary current account ...
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This chapter discusses the rationale for multilateral lending. It describes three types of multilateral lending including countercyclical provision of liquidity to meet temporary current account imbalances, lending to countries facing capital account crises in order to bail out private creditors, and development finance. It explains that the rationale for countercyclical lending has become stronger in light of the increased instability of the international economic environment, the procyclical behavior of international financial markets and greater vulnerability of developing countries to external shocks.Less
This chapter discusses the rationale for multilateral lending. It describes three types of multilateral lending including countercyclical provision of liquidity to meet temporary current account imbalances, lending to countries facing capital account crises in order to bail out private creditors, and development finance. It explains that the rationale for countercyclical lending has become stronger in light of the increased instability of the international economic environment, the procyclical behavior of international financial markets and greater vulnerability of developing countries to external shocks.
John Hills
- Published in print:
- 2004
- Published Online:
- January 2005
- ISBN:
- 9780199276646
- eISBN:
- 9780191601644
- Item type:
- chapter
- Publisher:
- Oxford University Press
- DOI:
- 10.1093/0199276641.003.0010
- Subject:
- Economics and Finance, Public and Welfare
The previous chapter suggests that progress has been made in tackling some of the problems outlined earlier in the book. However, the pressures on social spending and on distribution do not stand ...
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The previous chapter suggests that progress has been made in tackling some of the problems outlined earlier in the book. However, the pressures on social spending and on distribution do not stand still, and the constraints and pressures under which policy operates may change in the coming years. This chapter examines whether economic growth eases or worsens the pressures on public finances. It looks at the biggest source of pressure on spending, the ageing population, particularly pressures on spending on pensions. The final section discusses a different kind of constraint, particularly relevant to the strategies pursued since 1997, resulting from the spread of different kinds of means-testing, and asks whether we are reaching the limits to that kind of approach.Less
The previous chapter suggests that progress has been made in tackling some of the problems outlined earlier in the book. However, the pressures on social spending and on distribution do not stand still, and the constraints and pressures under which policy operates may change in the coming years. This chapter examines whether economic growth eases or worsens the pressures on public finances. It looks at the biggest source of pressure on spending, the ageing population, particularly pressures on spending on pensions. The final section discusses a different kind of constraint, particularly relevant to the strategies pursued since 1997, resulting from the spread of different kinds of means-testing, and asks whether we are reaching the limits to that kind of approach.
G. C. Peden
- Published in print:
- 2000
- Published Online:
- October 2011
- ISBN:
- 9780198207078
- eISBN:
- 9780191677472
- Item type:
- chapter
- Publisher:
- Oxford University Press
- DOI:
- 10.1093/acprof:oso/9780198207078.003.0005
- Subject:
- History, British and Irish Modern History, Economic History
Treasury officials successfully guided ministers to complete the post-war return to fiscal and monetary orthodoxy by restoring the gold standard. On the other hand, questions must be asked about the ...
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Treasury officials successfully guided ministers to complete the post-war return to fiscal and monetary orthodoxy by restoring the gold standard. On the other hand, questions must be asked about the utility of attempts to impose rigid doctrines on public finance. Both Winston Churchill and Philip Snowden resorted to fiscal window dressing in order to achieve the appearance of a balanced budget, although the budget constraint on spending departments was real enough. The confidence of international money markets in British public finance was shaken in 1931 when it became apparent that the cost of unemployment relief was unbalancing the budget to an unknown extent. The very rigidity of the doctrines that the Treasury had imposed on monetary policy and public finance made it difficult in 1931 to absorb shocks from the international economy. The period 1924–1931 further broadened the experience of those Treasury officials who had to deal with economic theory in relation to unemployment or international finance, as the world moved into a depression.Less
Treasury officials successfully guided ministers to complete the post-war return to fiscal and monetary orthodoxy by restoring the gold standard. On the other hand, questions must be asked about the utility of attempts to impose rigid doctrines on public finance. Both Winston Churchill and Philip Snowden resorted to fiscal window dressing in order to achieve the appearance of a balanced budget, although the budget constraint on spending departments was real enough. The confidence of international money markets in British public finance was shaken in 1931 when it became apparent that the cost of unemployment relief was unbalancing the budget to an unknown extent. The very rigidity of the doctrines that the Treasury had imposed on monetary policy and public finance made it difficult in 1931 to absorb shocks from the international economy. The period 1924–1931 further broadened the experience of those Treasury officials who had to deal with economic theory in relation to unemployment or international finance, as the world moved into a depression.
Leigh A. Gardner
- Published in print:
- 2012
- Published Online:
- January 2013
- ISBN:
- 9780199661527
- eISBN:
- 9780191744877
- Item type:
- book
- Publisher:
- Oxford University Press
- DOI:
- 10.1093/acprof:oso/9780199661527.001.0001
- Subject:
- History, Economic History, British and Irish Modern History
How much did the British Empire cost, and how did Britain pay for it? This volume explores a source of funds much neglected in research on the financial structure of the Empire, namely revenue raised ...
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How much did the British Empire cost, and how did Britain pay for it? This volume explores a source of funds much neglected in research on the financial structure of the Empire, namely revenue raised in the colonies themselves. Requiring colonies to be financially self-sufficient was one of a range of strategies the British government used to lower the cost of imperial expansion to its own Treasury. Focusing on British colonies in Africa, the book examines how their efforts to balance their budgets influenced their relationships with local political stakeholders as well as the imperial government. It finds that efforts to balance the budget shaped colonial public policy at every level, and that compromises made in the face of financial constraints shaped the political and economic institutions that were established by colonial administrations and inherited by the former colonies at independence.Using both quantitative data on public revenue and expenditure as well as archival records from archives in both the UK and the former colonies, this book follows the development of fiscal policies in British Africa from the beginning of colonial rule through the first years of independence. During the formative years of colonial administration, both the structure of taxation and the allocation of public spending reflected the two central goals of colonial rule: maintaining order as cheaply as possible, and encouraging export production. The book examines how the fiscal systems established before 1914 coped with the upheavals of subsequent decades, including the two world wars, the Great Depression, and finally the transfer of power.Less
How much did the British Empire cost, and how did Britain pay for it? This volume explores a source of funds much neglected in research on the financial structure of the Empire, namely revenue raised in the colonies themselves. Requiring colonies to be financially self-sufficient was one of a range of strategies the British government used to lower the cost of imperial expansion to its own Treasury. Focusing on British colonies in Africa, the book examines how their efforts to balance their budgets influenced their relationships with local political stakeholders as well as the imperial government. It finds that efforts to balance the budget shaped colonial public policy at every level, and that compromises made in the face of financial constraints shaped the political and economic institutions that were established by colonial administrations and inherited by the former colonies at independence.Using both quantitative data on public revenue and expenditure as well as archival records from archives in both the UK and the former colonies, this book follows the development of fiscal policies in British Africa from the beginning of colonial rule through the first years of independence. During the formative years of colonial administration, both the structure of taxation and the allocation of public spending reflected the two central goals of colonial rule: maintaining order as cheaply as possible, and encouraging export production. The book examines how the fiscal systems established before 1914 coped with the upheavals of subsequent decades, including the two world wars, the Great Depression, and finally the transfer of power.
Jan Palmowski
- Published in print:
- 1999
- Published Online:
- October 2011
- ISBN:
- 9780198207504
- eISBN:
- 9780191677700
- Item type:
- chapter
- Publisher:
- Oxford University Press
- DOI:
- 10.1093/acprof:oso/9780198207504.003.0006
- Subject:
- History, European Modern History
This chapter deals with the subject most indicative of liberal assumptions about politics in general, and about the nature and role of the state in particular—public finance. Underlying the financial ...
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This chapter deals with the subject most indicative of liberal assumptions about politics in general, and about the nature and role of the state in particular—public finance. Underlying the financial attitudes in theory as well as in practice was a clear consciousness that the question of municipal finance was inextricably linked to the question of local self-government. What mattered for political success was the kind of taxation liberals imposed, and whom they imposed it upon. The innovativeness of Frankfurt liberals in this regard is likely to have been exceptional, since the unique wealth of the city allowed them freedoms that most other local governments did not have. The case of Frankfurt suggests that liberal electoral fortunes depended on how well the liberals dealt with the issue of taxation, how conscious they were of its political importance, and how they sold it to the public.Less
This chapter deals with the subject most indicative of liberal assumptions about politics in general, and about the nature and role of the state in particular—public finance. Underlying the financial attitudes in theory as well as in practice was a clear consciousness that the question of municipal finance was inextricably linked to the question of local self-government. What mattered for political success was the kind of taxation liberals imposed, and whom they imposed it upon. The innovativeness of Frankfurt liberals in this regard is likely to have been exceptional, since the unique wealth of the city allowed them freedoms that most other local governments did not have. The case of Frankfurt suggests that liberal electoral fortunes depended on how well the liberals dealt with the issue of taxation, how conscious they were of its political importance, and how they sold it to the public.
