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Title :The driving forces of the greek great depression
Creator :Economides, George
Papageorgiou, Dimitris
Philippopoulos, Apostolis
Contributor :Athens University of Economics and Business, Department of Economics (Issuing body)
Type :Text
Extent :55 pages
Language :el
Identifier :http://www.pyxida.aueb.gr/index.php?op=view_object&object_id=5298
Abstract :This paper provides a quantitative study of the main determinants of the Greek greatdepression since 2010. We use a medium-scale DSGE model calibrated to the Greek economybetween 2000 and 2009 (the euphoria years that followed the adoption of the euro). Then, departingfrom 2010, our simulations show that the fiscal policy mix adopted, jointly with the deterioration ininstitutional quality and, specifically, in the degree of protection of property rights, can explainessentially all the total loss in GDP between 2010 and 2015 (around 26%). In particular, the fiscalpolicy mix accounts for 14% of the total output loss, while the deterioration in property rightsaccounts for another 8%. It thus naturally follows that a less distorting fiscal policy mix and astronger protection of property rights are necessary conditions for economic recovery in this country.
Subject :growth
public debt
institutions
Date Available :2017-03-13 16:25:59
Date Issued :03/13/2017
Date Submitted :2017-03-13 16:25:59
Access Rights :Free access
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