The macro content of PRSPs: assessing the need for a more flexible macroeconomic policy framework.

Gottschalk, Ricardo (2005) The macro content of PRSPs: assessing the need for a more flexible macroeconomic policy framework. Development Policy Review, 23 (4). pp. 419-442. ISSN 0950-6764

Full text is not in this repository.

Official URL: http://tinyurl.com/2wu5l9d

This item is available in the Library Catalogue

Abstract

This article analyses the content of 15 Poverty Reduction Strategy Papers from a growth and poverty reduction perspective. Contrary to new trends in developed and middle-income countries, their policy frameworks lack the necessary flexibility to deal with external shocks and address macroeconomic volatility appropriately. Their fiscal and monetary policies are too narrowly focused on fiscal balance and price stability and consequently pay too little attention to economic fluctuations arising from external shocks, which have major effects on poverty and growth. To address these issues, the article proposes a set of policy measures, including avoidance of excessively tight inflation and fiscal targets (with provisions for fluctuations in commodity prices), more room for countercyclical policy and the adoption of permanent safety nets.

Item Type:Article
Research Areas:Business School > Economics and International Development
ID Code:5584
Useful Links:
Deposited On:10 May 2010 05:33
Last Modified:14 Oct 2013 07:47

Repository staff and depositor only: item control page

Full text downloads (NB count will be zero if no full text documents are attached to the record)

Downloads per month over the past year