Five Countries, Five Models – A Comparison of Fiscal Frameworks and Lessons for Finland

Begg IainKuusi TeroKylliäinen Olavi

Abstract

In recent years, many countries have sought to transform their fiscal frameworks, with the aim of rendering their public finances more sustainable and preventing the emergence of fiscal problems. This report presents the findings of comparative research into the fiscal frameworks of five countries (Denmark, Ireland, the Netherlands, New Zealand and Sweden). All five countries have developed effective fiscal frameworks in the last two decades, and it is evident that they reflect both reactions to past episodes of fiscal laxity and the fostering of a broad consensus on the necessity of a more disciplined and robust framework.

There are noteworthy differences of approach, with the implication that rather than there being an optimal framework, successful ones can take different forms. It is never easy to transplant what works in one national setting to another, but there are several insights from experience in the comparator countries which could help to enhance the Finnish fiscal framework.

See also publication General Government Fiscal Frameworks and Their Development Needs in Finland.

Information om publikationen

Forskningsgrupp
Makroekonomi och den offentliga ekonomin
Serie
ETLA Working Papers 102
Datum
11.04.2023
Nyckelord
Fiscal policy, Fiscal rules, Expenditure ceilings
ISSN
2323-2420, 2323-2439 (Pdf)
JEL
E62, H30, H61, P52
Sidor
72
Språk
Engelska