Fiscal sustainability in an emerging market economy: When does public debt turn bad?

This paper proposes a Markov-switching model to assess the sustainability of fiscal policy in Malaysia for the period 1980-2014. Our results indicate the policymakers in the past have followed a sustainable fiscal policy, except during the brief periods of economic difficulty. The empirical analysis...

Full description

Bibliographic Details
Main Authors: Baharumshah, A.Z, Soon, Siewvoon, Lau, Evan
Format: Article
Language:English
Published: Elsevier B.V. 2017
Subjects:
Online Access:http://ir.unimas.my/id/eprint/15340/
http://ir.unimas.my/id/eprint/15340/2/ScienceDirectFiscal%20sustainability%20in%20an%20emerging%20market%20economy%20%28abstract%29.pdf