In this article, Masashige Hamano and Francesco Pappadà provide a rationale for managed exchange rate policies that protect industries and workers in the export market from external economic shocks…
High levels of inequality have made redistributive policies a core topic in recent policy debates. Two key components of redistributive policies are targeted transfers and progressive income taxes…
In French – De nombreuses recherches récentes en macroéconomie ont porté sur la relation entre les inégalités et les fluctuations macroéconomiques. Il est important de noter que cette relation va dans les deux sens. D’une part, les fluctuations globales en général, et les changements de politiques macroéconomiques en particulier, peuvent avoir des conséquences redistributives importantes…
In high-income countries, corporate tax rates have been substantially reduced since the 1990s. One common explanation for this is the tax competition that states engage in order to attract foreign investment. Financial globalisation leads governments to lower the tax load on capital and to shift the burden of public expenditure onto to other factors of production, in particular labour…
Economic stabilisation policies aim to reduce persistent deviations in production, prices and risks from their average trend. To achieve this, in case of recession, falling prices or increased risk, public policy makers lower the key interest rate, increase central bank liquidity offers, increase public spending, and or reduce income taxes. In the case of a boom, they do the reverse…