by Summary:
Finanz und Wirtschaft, June 5, 2021. PDF. The debt brake addresses some political economy frictions, but not others. Focusing too narrowly on explicit government debt it provides incentives to accumulate implicit debt, sell assets, or engage in creative accounting. The political pressure to raise SNB profit disbursements is a symptom of these incentives.
Topics:
Dirk Niepelt considers the following as important: Central bank profit, Contributions, Debt, Debt brake, Government asset, Implicit debt, Swiss National Bank, Switzerland
This could be interesting, too:
Finanz und Wirtschaft, June 5, 2021. PDF. The debt brake addresses some political economy frictions, but not others. Focusing too narrowly on explicit government debt it provides incentives to accumulate implicit debt, sell assets, or engage in creative accounting. The political pressure to raise SNB profit disbursements is a symptom of these incentives.
Topics:
Dirk Niepelt considers the following as important: Central bank profit, Contributions, Debt, Debt brake, Government asset, Implicit debt, Swiss National Bank, Switzerland
This could be interesting, too:
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Finanz und Wirtschaft, June 5, 2021. PDF.
- The debt brake addresses some political economy frictions, but not others.
- Focusing too narrowly on explicit government debt it provides incentives to accumulate implicit debt, sell assets, or engage in creative accounting.
- The political pressure to raise SNB profit disbursements is a symptom of these incentives.