...top of page

Working paper 614

Diego Restuccia, "The Monetary and Fiscal History of Venezuela 1960-2016", 2018-08-22
Main Text (application/pdf) (613,506 bytes)

Abstract: I document the salient features of monetary and fiscal outcomes for the Venezuelan economy during the 1960 to 2016 period. Using the consolidated government-budget accounting framework of Chapter 2, I assess the importance of fiscal balance, seigniorage, and growth in accounting for the evolution of debt ratios. I find that extraordinary transfers, mostly associated with unprofitable public enterprises, and not central-government primary deficits, account for the increase in financing needs in recent decades. Seigniorage has been a consistent source of financing of deficits and transfers, especially in the last decade, with increases in debt ratios being important in some periods.

Keywords: monetary, fiscal, policy, inflation, debt, growth, oil, Venezuela.

JEL Classification: E00, E02, E3; E4, E5, E6, O1, O4.