Occasional Paper 9. Fiscal Rigidities and their Effects in Ghana: What Should the Government Do?

In spite of the fact that many reasons are usually used to justify the presence of fiscal rigidities, they have been found to pose serious fiscal and macroeconomic difficulties to some countries, particularly those in Latin America, since they make governments lose the discretion and flexibility to use fiscal policy to address emerging fiscal and macroeconomic challenges. Yet, fiscal rigidities have not received the needed attention in Africa in terms of research. This paper sheds light on fiscal rigidities and their fiscal and macroeconomic effects in Ghana.

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March 24, 2017

Fiscal Rigidities and their Effects in Ghana: What Should the Government do? [Occasional Paper 09]

Occasional Paper 9. Fiscal Rigidities and their Effects in Ghana: What Should the Government Do?

In spite of the fact that many reasons are usually used to justify the presence of fiscal rigidities, they have been found to pose serious fiscal and macroeconomic difficulties to some countries, particularly those in Latin America, since they make governments lose the discretion and flexibility to use fiscal policy to address emerging fiscal and macroeconomic challenges. Yet, fiscal rigidities have not received the needed attention in Africa in terms of research. This paper sheds light on fiscal rigidities and their fiscal and macroeconomic effects in Ghana.
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February 14, 2017

No. 3: Fiscal Rigidities and their Effects in Ghana

Policy Brief 3: Fiscal Rigidities and their Effects in Ghana

Many arguments are often advanced to justify the establishment of rigidities in the public budget. However, a number of studies have found that fiscal rigidities pose serious fiscal and macroeconomic challenges in various countries. This paper seeks to assess the extent of rigidity in Ghana's budget, examine the effects of fiscal rigidities in Ghana, and propose recommendations for Government in the face of the challenges posed by fiscal rigidities.
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