TY - JOUR
T1 - Back to external pressure
T2 - policy responses to the financial crisis in Portugal
AU - Torres, Francisco
N1 - Funding Information:
This paper is based on ongoing research at IEE, Universidade Católica, on ‘The Political Economy of European Monetary Governance: the Role of Preferences, Policies and Strategies’ and is part of an FCT project on Economic Growth, Convergence and Institutions (research grant POCI/EGE/55423/2004, partially funded by FEDER). Comments and guidelines provided by an anonymous referee and the editors are gratefully acknowledged.
Copyright:
Copyright 2009 Elsevier B.V., All rights reserved.
PY - 2009/3
Y1 - 2009/3
N2 - The financial crisis caught Portugal in the midst of its long-protracted and slow fiscal consolidation process, which brought the budget deficit down to 2.2 per cent of GDP in 2008. The crisis was not a bursting bubble type of shock but it brought back the long-forgotten external (liquidity) constraints. Given Portugal's accumulated external imbalances, it is argued that the government should credibly pre-commit to mediumterm budgetary objectives with accelerated corrective measures to the 2009 fiscal overrun. Also, it should actively promote sustainable consumption patterns and a leap forward to a new 'green' competitive basis for sustainable development, thereby increasing the country's general creditworthiness.
AB - The financial crisis caught Portugal in the midst of its long-protracted and slow fiscal consolidation process, which brought the budget deficit down to 2.2 per cent of GDP in 2008. The crisis was not a bursting bubble type of shock but it brought back the long-forgotten external (liquidity) constraints. Given Portugal's accumulated external imbalances, it is argued that the government should credibly pre-commit to mediumterm budgetary objectives with accelerated corrective measures to the 2009 fiscal overrun. Also, it should actively promote sustainable consumption patterns and a leap forward to a new 'green' competitive basis for sustainable development, thereby increasing the country's general creditworthiness.
KW - Eurozone
KW - Financial crisis
KW - Portugal
KW - Structural fiscal consolidation
KW - Sustainable development
UR - http://www.scopus.com/inward/record.url?scp=70449383379&partnerID=8YFLogxK
U2 - 10.1080/13608740902995851
DO - 10.1080/13608740902995851
M3 - Article
AN - SCOPUS:70449383379
SN - 1360-8746
VL - 14
SP - 55
EP - 70
JO - South European Society and Politics
JF - South European Society and Politics
IS - 1
ER -
