Fiscal Policy and Exchange Rates

Annicchiarico Barbara
CEIS Working Papers
This paper examines the dynamics of the nominal exchange rate and fiscal deficits in a continuous time optimising general equilibrium model with finite horizon. It is shown that alternative financing modes of budget deficits imply di erent patterns of adj
Number: 174
Date: Tuesday, October 1, 2002
Revision Date: Tuesday, October 1, 2002