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Analytical Framework for Fiscal Sustainability: A Review

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  • Krishanu Pradhan

Abstract

Continuous assessment of fiscal sustainability is essential to macroeconomic policy research for identifying the sources of risk and vulnerability in the fiscal and macro structure of a country and suggesting appropriate policy to avoid abrupt macroeconomic crises. In this context, this review-cum-technical note is an attempt to provide theoretical and empirical backgrounds for assessing the soundness of a country’s current and future fiscal policies. Since fiscal sustainability analysis is a multidimensional problem, the present study presents various approaches to fiscal sustainability with theoretical and empirical frameworks to understand the issue from an academic as well as practitioner’s perspective.

Suggested Citation

  • Krishanu Pradhan, 2019. "Analytical Framework for Fiscal Sustainability: A Review," Review of Development and Change, , vol. 24(1), pages 100-122, June.
    • Handle: RePEc:sae:revdev:v:24:y:2019:i:1:p:100-122
    DOI: 10.1177/0972266119845951
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    Cited by:

    1. Maureen Were & Lekinyi Mollel, 2020. "Public debt sustainability and debt dynamics: The case of Tanzania," WIDER Working Paper Series wp-2020-112, World Institute for Development Economic Research (UNU-WIDER).
    2. Magulsha George & K. R. Shanmugam, 2022. "Public Debt and External Debt Sustainability among BRICS Countries," Margin: The Journal of Applied Economic Research, National Council of Applied Economic Research, vol. 16(3-4), pages 231-253, August.
    3. Yuanting Xia & Wenxiu Hu & Zhenxing Su, 2022. "Economic Policy Uncertainty, Social Financing Scale and Local Fiscal Sustainability: Evidence from Local Governments in China," Sustainability, MDPI, vol. 14(12), pages 1-19, June.

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