Ethan Ilzetzki's picture
Affiliation: 
London School of Economics

Voting history

Responsible long-term fiscal policy (pilot survey)

Second question:

To help ensure that advanced country governments pursue responsible fiscal policies, countries should adopt formal rules for limiting structural deficits, which are supported by primary legislation or constitutional reform.

Answer:
Agree
Confidence level:
Not confident
Comment:
I would like to see institutional changes to give less discretion to finance ministries to run deficits. My lack of confidence stems from the fact that I am not sure that a formal rule is the best way to do so. We have seen the limits to the applicability of monetary rules in this recession and a rigid rule might pose problems in unusual circumstances. Fiscal committees might be an alternative way to impose fiscal discipline.

First question:

To help ensure that advanced country governments have sufficient flexibility to respond to future crises, it is important that finance ministries aim for a ratio of public debt to GDP that is substantially less than 60% in normal times.

Answer:
Agree
Confidence level:
Very confident
Comment:
I do not think 60% is a magic number and in fact might be too high for "normal times", but better a target than none.

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