Effects of the European Economic and Monetary Union (EMU) on Taxation and Interest Spending of National Governments

Effects of the European Economic and Monetary Union (EMU) on Taxation and Interest Spending of National Governments
This paper examines the interest spending and taxation channels through which EMU could affect the public finances. It provides a framework for examining different views on a further narrowing of interest rate differentials. A model of Blanchard and Fischer is amended to analyze the two channels, and empirical evidence on the tax harmonization... READ MORE...

Publication date: July 1997
ISBN 9781451951271
$15.00

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