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Fiscal Policy and Austerity in Pakistan; Reduce Expenditures or Raise Taxes?

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  • Yasir Zada Khan

    (Pakistan Institute of Development Economics)

Abstract

Introductory Note In recent years, Pakistan has navigated through various fiscal challenges, prompting shifts in its fiscal policy stances and subsequent implementation of austerity measures. Inspired by Alberto Alesina’s insightful podcast on Fiscal Policy and Austerity,[1] this knowledge brief explores key theoretical aspects of austerity measures, and examining the approaches taken by the Government of Pakistan (GoP) to address fiscal deficits and economic uncertainty, with a concise review of austerity policy in recent years.

Suggested Citation

  • Yasir Zada Khan, 2024. "Fiscal Policy and Austerity in Pakistan; Reduce Expenditures or Raise Taxes?," PIDE Knowledge Brief 2024:130, Pakistan Institute of Development Economics.
    • Handle: RePEc:pid:kbrief:2024:130
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