septembre 2017 Is fiscal policy always counter- (pro-) cyclical? The role of public debt and fiscal rules Jean-Louis COMBES, Alexandru MINEA, Mousse Ndoye SOW

We investigate the reaction of fiscal policy to the business cycle in a panel of 56 developed, emerging and developing economies over 1990–2011. While we strengthen the established finding that fiscal policy is counter-cyclical, additional outcomes emerge from this study. We reveal a non-linear response of fiscal policy to the business cycle, conditional upon the […]