01994cas a2200265 a 4500 AALejournalIMF006780 230101c9999 xx r poo 0 0eng d 5.00 USD 9781455209323 1018-5941 BD-DhAAL BD-DhAAL Baldacci, Emanuele. Restoring Debt Sustainability After Crises : Implications for the Fiscal Mix / Emanuele Baldacci, Sanjeev Gupta, Carlos Mulas-Granados. Washington, D.C. : International Monetary Fund, 2010. 1 online resource (35 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 This paper analyzes the experience of 99 advanced and developing economies in restoring fiscal sustainability during 1980 - 2008 after banking crises, which led to large accumulation of public debt. It finds that successful debt reductions have relied chiefly on generation of large primary surpluses in post-crisis years through current expenditure cuts. These savings have been accompanied by growth-promoting measures and a supportive monetary policy stance. While these results are consistent with the existing literature, the paper finds that revenue-raising measures increased the likelihood of successful consolidation in countries that faced large adjustment needs after the crisis. This reflects the fall in effectiveness of spending cuts when deficit reduction needs are large independent of initial tax ratios. Mode of access: Internet Gupta, Sanjeev. Mulas-Granados, Carlos. IMF Working Papers; Working Paper ; No. 2010/232 Full text available on IMF http://elibrary.imf.org/view/journals/001/2010/232/001.2010.issue-232-en.xml IMF e-Library