J. Ayuso-i-Casals & S. Deroose 
Policy Instruments for Sound Fiscal Policies 
Fiscal Rules and Institutions

This volume contributes to empirical research on the role of national fiscal rules and institutions in shaping fiscal policies. It provides original, policy-oriented analysis on a number of questions and gives illuminating conclusions about the devices which promote sound and sustainable policy. Contributors are leading experts.

Table of Content

List of Tables List of Figures Foreword Acknowledgements List of Contributors Introduction; J.Ayuso-i-Casals, S.Deroose, E.Flores & L.Moulin PART I: FISCAL RULES AND INSTITUTIONS AS USEFUL DEVICES TO ADDRESS THE DEFICIT BIAS Dealing With the Deficit Bias: Principles and Policies; S.Krogstrup & C.Wyplosz The Discipline-enhancing Role of Fiscal Institutions: Theory and Empirical Evidence; X.Debrun & M.S.Kumar The Surplus Factor; T.Broesens & P.Wierts Comments on Part I; C.Martinez Mongay PART II: FORMS OF GOVERNANCE, RULES AND INSTITUTIONS The Design of Fiscal Rules and Forms of Governance in European Union Countries; M.Hallerberg, R.Strauch & J.von Hagen National Fiscal Institutions and the Stability and Growth Pact: Are ‘Delegation States’ at a Disadvantage?; D.Hodson Comments on Part II; C.Wyplosz PART III: SPECIFIC INSTITUTIONAL ARRANGEMENTS TO IMPROVE FISCAL POLICY Rainy Day Funds: Can They Make a Difference in Europe?; F.Balassone, D.Franco & S.Zotteri Beyond the SGP: Features and Effects of EU National-level Fiscal Rules; J.Ayuso-i-Casals, D.González, L.Moulin & A.Turrini Who Provides Signals to Voters About Government Competence on Fiscal Matters? The Importance of Independent Watchdogs; E.Stéclebout-Orseau & M.Hallerberg Optimal Debt Policy and an Institutional Proposal to Help in its Implementation; T.Kirsanova, C.Leith & S.Wren-Lewis Comments on Part III; T.Ter-Minassian PART IV: COUNTRY SPECIFIC EXPERIENCES The Swedish Budget ‘Model’: A Genuine Beauty or in Need of a Face Lift?; R.Boije & J.Fisher Fiscal Councils, Independent Forecasts and the Budgetary Process: Lessons from the Belgian Case; I.Lebrun Comments on Part IV; L.Jonung Notes Bibliography Index

About the author

JOAQUIM AYUSO-I-CASALS is currently working as an economist and policy analyst in the Directorate-General for Economic and Financial Affaires at the European Commission. He deals with fiscal policy issues in the context of the Economic and Monetary Union and, in particular, with the quality and institutional aspects of public finances. He is a former professor at the University Pompeu Fabra of Barcelona.

SERVAAS DEROOSE is Director of the Macroeconomy of the euro area and the Union in the Directorate-General for Economic and Financial Affairs at the European Commission, and a member of the Economic and Financial Committee. He has written numerous articles on different issues, including the Stability and Growth Pact and economic policies in EMU.

ELENA FLORES is Director in charge of Economies of Member States in the Directorate-General for Economic and Financial Affairs at the European Commission. She held other important positions in the past in the Commission, such as Head of Units in charge of euro introduction, financial markets developments and public finances, respectively. She was also advisor in the cabinet of the Commissioner responsible for Economic and Financial Affairs (1999-2002).

LAURENT MOULIN is a staff member of the European Commission on special leave. He is currently working at the IMF as an Economist in charge of monitoring some IMF Member States’ economies. In the Directorate-General for Economic and Financial Affaires at the European Commission, he worked on issues related to the analysis of fiscal policies in the EU, the euro area and the Member States and methodological work on the implementation of the Stability and Growth Pact.