The spenders-hoarders theory of capital accumulations, wealth distribution and fiscal policy

This paper proposes a simple OLG model which is consistent with the essential facts about consumer behavior, capital accumulation and wealth distribution, and yields some new and surprising conclusions about fiscal policy. By considering a society in which individuais are distinguished according to two characteristics, altruism and wealth preference, we show that those who in the long run hold the bulk of private capital are not so rnuch motivated by dynastic altruism as by preference for wealth. Two types of social segmentation can result with different wcalth distribution. To a large extcnt our results seem to fit reality better than those obtained with standard optimal growth models in which dynastic altruism ( or r ate o f impatience) is the only source of heterogeneity: overaccumulation can appear, public debt and unfunded pensions are not neutra!, estate taxation can improve the welfare of the top wealthy.

Fiscal policy contradiction: a perspective on Brazil and Mexico

The aim of this paper is to discuss the quality of fiscal policy in Brazil and Mexico and investigate whether fiscal policy influence is favorable to reduce the unemployment rate. Public spending, which has a positive effect on the level of employment when results in additional aggregate demand, may cause a negative effect on employment, if its financing depends on persistent high interest rates. Brazil and Mexico have engaged in a long effort to control public spending and to reduce the public deficit to zero. Does this policy bring a positive result to the economic activity no matter how actual public deficit has been financed? We select variables related to public budget as public sector borrowing requirements, taxes, public debt and others to form a data base. The fiscal institutional arrangement and the data allow us to evaluate the fiscal policy as a whole and to discuss the importance of credibility and reputation of the government.

Preliminary Overview of the Economies of Latin America and the Caribbean 2005

Includes bibliography

Preliminary Overview of the Economies of Latin America and the Caribbean 2010

Includes bibliography

Economic Survey of Latin America and the Caribbean 2003-2004

Includes bibliography

Latin America and the Caribbean in the World Economy 2010-2011: The region in the decade of the emerging economies

Incluye Bibliografía

Latin America and the Caribbean in the World Economy 2011-2012: Continuing crisis in the centre and new opportunities for developing economies

Includes bibliography

Forum for East Asia-Latin America Cooperation (FEALAC): new biregional trade and investment relations in a changing world economic environment$c

Includes bibliography

India and Latin America and the Caribbean: opportunities and challenges in trade and investment relations

Includes Bibliography

The Chilean earthquake of 27 February 2010 an overview

Includes bibliography

Economic survey of the Caribbean, 2007-2008

Includes bibliography

Política fiscal e dívida pública: Uma abordagem teórica a partir de keynes e abba lerner

The fiscal policies of national governments are an important instrument of economic policy, as they contribute directly or indirectly to growth and economic development. Since Keynes, the utilization of active fiscal policy is unavoidable during periods of crisis, especially a policy of public investment spending aimed at reducing macroeconomic uncertainty. In the same way, Abba Lerner and functional finances indicate the use of fiscal policy in favor of macroeconomic stability, and not according to a single objective of seeking equilibrium in the public accounts. However, at the present time, the debate on fiscal policy is not sufficient to guarantee public sector financial equilibrium. The article picks up on the contributions of Keynes and Abba Lerner regarding the importance of the public budget in economic activity, and discusses the present scenario for fiscal policy.

Macroeconomic policies in times of crisis: options and perspectives

Includes bibliography

Social Security in the United States: Overview and Outlook

Includes bibliography