24 oct 2011
The Fiscal Stimulus Programme and Public Governance Issues in China Christine Wong
China introduced the largest stimulus package in the world in late 2008, in the wake of the global financial crisis. China was also the first major economy in the world to emerge from the crisis. After a brief though sharp downturn in 2008, the Chinese economy recovered and grew by 8.7% in 2009 and by 10.4% in 2010. This article discusses the fiscal stimulus measures adopted in China in terms of their substantive composition, as well as the decision-making processes and implementation mechanisms. It also discusses some of the challenges encountered.
24 oct 2011
Repairing the Budget Contract between Citizens and the State Allen Schick
This article argues that the budget is essentially a contract between citizens and the state, and that the contract is in a great state of disrepair. The ongoing debate and action in OECD countries should focus on post-crisis revenue and expenditure policies in order to repair this contract. The combination of fiscal stress, high expectations and citizen mistrust, however, greatly complicates the task. JEL classification: A130, H500, H600 Keywords: budget as contract, citizen expectations, citizen participation in government, trust in government, sustainable revenue and expenditure policies, accountability
24 oct 2011
Independent Fiscal Institutions: Developing Good Practices George Kopits
This article presents an overview of independent fiscal institutions in OECD member countries, outlining their principal common features as well as country-specific attributes and functions, and flags the challenges they face in the surveillance of public finances. The case of the short-lived Fiscal Council in Hungary is discussed, with a comparison to the recently established Office for Budget Responsibility in the United Kingdom. The article draws upon the experience accumulated so far to propose internationally accepted good practices in this area. JEL classification: H610, H680 Keywords: surveillance of public finances, independent fiscal institutions, fiscal council, parliamentary budget office, office for budget responsibility, oversight of fiscal policy, Hungary, United Kingdom
