Size of the public sector, contingent liabilities, and structural and cyclical deficits in the Czech Republic, 1993-1999

Two specialists on fiscal policy in the Czech Republic examine the deterior ation of that country's fiscal position during the late 1990s and outline i ts causes and consequences. Particular attention is devoted to developments in the government sector, extra-budgetary activities, sources of revenue, patterns of government spending, hidden liabilities, and structural and cyc lical fiscal imbalances. The authors also assess in some detail the politic al environment within which fiscal policy is formulated and describe possib le outcomes should the current situation and policies continue. Classificat ion Numbers: E50, E60, H50, H60.