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Cambridge Journal of Economics 24:505-509 (2000)
Copyright © 2000 Cambridge Political Economy Society

Article

Notes and comments. On the sustainability area as a simplifying didactic device

S Harck

The Aarhus School of Business, Fuglesangs allé 20, DK-8210 Aarhus V, Denmark
E-mail: soh@hha.dk

Abstract

Recently, the sustainability area of public finance has been launched as a simplifying screening device for the analysis of fiscal sustainability. In this comment, it is argued that the novel notion of the sustainability area (reflecting, in turn, a simple notion of public debt sustainability) does not, by itself, have any bearing on the sustainability of public finances: being positioned within the sustainability area cannot serve as a reasonable criterion of fiscal sustainability.


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