UNISONActive is an unofficial blog produced by UNISON activists for UNISON activists. Bringing news, briefings and events from a progressive left perspective.
Thursday, 28 November 2013
So as not to contradict IMF practice, the article is careful to state: "These results do not imply that countries should not undertake capital account liberalization or fiscal consolidation. After all, such policy actions … reflect an assessment that they will benefit the economy."
However the article suggests that governments should consider actions to mitigate the distributional impact of "beneficial" austerity and liberalization programmes: "For instance, greater resort to progressive taxes and the protection of social benefits for vulnerable groups can help counter some of the effect of fiscal consolidation on inequality."