The author argues that, for any chosen level of the public debt, a consequent social burden arises as the tax-percentage of GNP that can be imposed to service the debt. In this way, there is an infinite number of steady-state paths that are sustainable (and each of them might well be different from one country to another). When considering Europe, the trouble is that the particular Maastricht couple of 3% Deficit/GNP and 60% Debt/GNP was chosen as a singularity, simply because at the time, those parameters characterized the German Economy.

Pasinetti, L. L., The myth ( or folly ) of the 3% deficit/GDP Maastricht ‘parameter’, <<CAMBRIDGE JOURNAL OF ECONOMICS>>, 1998; 1998 (22): 103-116 [http://hdl.handle.net/10807/81120]

The myth ( or folly ) of the 3% deficit/GDP Maastricht ‘parameter’

Pasinetti
Primo
1998

Abstract

The author argues that, for any chosen level of the public debt, a consequent social burden arises as the tax-percentage of GNP that can be imposed to service the debt. In this way, there is an infinite number of steady-state paths that are sustainable (and each of them might well be different from one country to another). When considering Europe, the trouble is that the particular Maastricht couple of 3% Deficit/GNP and 60% Debt/GNP was chosen as a singularity, simply because at the time, those parameters characterized the German Economy.
Inglese
Pasinetti, L. L., The myth ( or folly ) of the 3% deficit/GDP Maastricht ‘parameter’, <<CAMBRIDGE JOURNAL OF ECONOMICS>>, 1998; 1998 (22): 103-116 [http://hdl.handle.net/10807/81120]
File in questo prodotto:
Non ci sono file associati a questo prodotto.

I documenti in IRIS sono protetti da copyright e tutti i diritti sono riservati, salvo diversa indicazione.

Utilizza questo identificativo per citare o creare un link a questo documento: https://hdl.handle.net/10807/81120
Citazioni
  • ???jsp.display-item.citation.pmc??? ND
  • Scopus 63
  • ???jsp.display-item.citation.isi??? 52
social impact