Chipping away at public debt : sources of failure and keys to success in fiscal adjustment /

Mauro (International Monetary Fund) has edited a collection on fiscal adjustment, the core of which examines case studies of developed countries that succeeded and countries that failed at reducing deficits to their target. All cases took place during the last 35 years. This volume takes a different approach than others: it examines how much deficit reduction was planned and how much was actually achieved. It also details the planning process and sources of success or failure. The second-to-last chapter formally analyzes the sources of deficit reduction, and the final chapter summarizes the results. Given current budget difficulties, this is a timely work. Mauro and his colleagues conclude that the key source of deficit reduction is unexpectedly high revenue. Sadly, this is not a variable that policy makers control. Nevertheless, the volume offers important insights on the fiscal adjustment process and elements that increase the likelihood of success. Summing Up: Highly recommended. Upper-division undergraduate and graduate students; researchers; faculty. B. B. Andrew Juniata College