Publications
Publications
- December 2004 (Revised December 2004)
- HBS Case Collection
Fiscal Policy and the Case of Expansionary Fiscal Contraction in Ireland in the 1980s
By: Huw Pill
Abstract
Provides a brief introduction to fiscal policy, including the fiscal multiplier. Uses Ireland's experience in the 1980s to explore the possibility that fiscal contractions--tax rises and expenditure costs--can stimulate economic growth (contrary to conventional Keynesian wisdom) via confidence effects and the establishment of a credible framework for fiscal stability over the medium term. A rewritten version of an earlier note.
Keywords
Citation
Pill, Huw. "Fiscal Policy and the Case of Expansionary Fiscal Contraction in Ireland in the 1980s." Harvard Business School Background Note 705-015, December 2004. (Revised December 2004.)