Financial and Monetary Systems

The 3 principles behind sound and sustainable national debt policy

Dec 11, 2019

A beggar holds a plastic cup as he asks for money in central Madrid, October 10, 2013. Beggars, dog-lovers and fortune-tellers who venture onto Madrid's busy streets may soon find themselves out of pocket as authorities in the city and elsewhere seek creative solutions to their financial problems.The Madrid council laid out plans this week to levy fines of 750 euros ($1,000) for public activities including soliciting for money outside shopping centres, feeding or washing dogs, reading tarot cards and performing acrobatics with a bike. Saddled with huge debts since a property bubble burst in 2008, Spain's autonomous regions and town halls have seen core revenues fall as unemployment holds stubbornly above 25 percent and corporate investments dry up. Many owe millions to service suppliers and staff. REUTERS/Susana Vera (SPAIN - Tags: POLITICS BUSINESS SOCIETY POVERTY) - GM1E9AA1PL501

Building a holistic framework that is able to tell confidently whether a country’s public debt is sustainable or not amounts to mission impossible. Image: REUTERS/Susana Vera

Xavier Debrun

Deputy Chief of the Fiscal Policy and Surveillance Division, International Monetary Fund

Jonathan D. Ostry

Professor of the Practice of Economics, Georgetown University

Tim Willems

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Financial and Monetary Systems Inequality Economic Progress

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