what does fiscal discipline mean in washington consensus

来源:百度知道 编辑:UC知道 时间:2024/06/22 06:11:45
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what government should do to help the economy is:

when economy is bad, government reduce tax and increase its spending in domestic market, like constructing road, bridge etc. this will help the economy recover, but government will run deficit.
when economy is good, government collect tax and reduce spending to gain some surplus in order to cover its accumulated deficit.

the deficit at bad economy and surplus at good economy should not be too much off.

washington consensus implies nil or low fiscal deficits, and a low growth of public debt.

http://en.wikipedia.org/wiki/Fiscal_discipline
http://en.wikipedia.org/wiki/Washington_Concensus