01996cas a2200241 a 4500 AALejournalIMF004930 230101c9999 xx r poo 0 0eng d 5.00 USD 9781451869811 1018-5941 BD-DhAAL BD-DhAAL International Monetary Fund. Fiscal and Monetary Anchors for Price Stability : Evidence from Sub-Saharan Africa. Washington, D.C. : International Monetary Fund, 2008. 1 online resource (37 pages) IMF Working Papers <strong>Off-Campus Access:</strong> No User ID or Password Required <strong>On-Campus Access:</strong> No User ID or Password Required Electronic access restricted to authorized BRAC University faculty, staff and students The paper presents a model of fiscal dominance with borrowing constraints, and provides evidence for a large number of sub-Saharan African countries on the relative importance of fiscal and monetary determinants of inflation. Based on the dynamic response of inflation to different shocks, including nominal public debt, results show that a number of SSA countries were characterized throughout the period 1980-2005 either by chronic fiscally dominant regimes, with weak or no response of primary surpluses to public debt; or by a consistent adoption of a monetary dominant regime. However, a number of countries were also characterized by lack of a clear monetary and fiscal policy regime. The study also finds that changes in nominal public debt affect price variability via aggregate demand effects, suggesting that fiscal outcomes could be a direct source of inflation variability, as predicted by the fiscal theory of the price level. Mode of access: Internet IMF Working Papers; Working Paper ; No. 2008/121 Full text available on IMF http://elibrary.imf.org/view/journals/001/2008/121/001.2008.issue-121-en.xml IMF e-Library