The New Politics of Austerity: Fiscal Responses to Crisis in Ireland and Spain

Research output: Working paper

Abstract

This paper adopts a new analytical approach to explaining choices in fiscal politics in Ireland and Spain between 2008 and 2010, in response to international economic crisis. It adopts a comparative cross-national research design to explore why two countries with similar pre-crisis fiscal profiles
adopted radically different strategies in the initial phase of the crisis: Ireland adopted an orthodox deficit-reduction strategy, while Spain implemented a ‘heterodox’ stimulus fiscal package. Yet by mid-2010, Spain’s fiscal stance had converged with Ireland’s, as the wider European crisis deepened
and the scope for autonomous national policy choice narrowed. The paper tracks this shift in a second stage of the research design, examining within-country variation over time, to provide a nuanced and sophisticated analysis of strategic choices at critical moments. It argues that the shift toward a European politics of austerity is different in a number of important ways from the older
politics of fiscal consolidation, and that this has far-reaching implications not only for the evolution of European integration, but also for the balance between democratic politics and transnational markets.
LanguageEnglish
Place of PublicationDublin
Number of pages60
Publication statusPublished - Feb 2012

Publication series

NameDiscussion Paper Series
PublisherUCD Geary Institute
No.WP2012/07

Fingerprint

Ireland
Spain
politics
research planning
international economics
European integration
economic crisis
consolidation
deficit
stimulus
Fiscal
market
Research design

Keywords

  • new politics
  • austerity
  • fiscal responses
  • crisis
  • ireland
  • spain

Cite this

Dellepiane Avellaneda, S., & Hardiman, N. (2012). The New Politics of Austerity: Fiscal Responses to Crisis in Ireland and Spain. (Discussion Paper Series; No. WP2012/07). Dublin.
Dellepiane Avellaneda, Sebastian ; Hardiman, Niamh. / The New Politics of Austerity : Fiscal Responses to Crisis in Ireland and Spain. Dublin, 2012. (Discussion Paper Series; WP2012/07).
@techreport{9c6cbd66498849fdaeceeeab5d6e5663,
title = "The New Politics of Austerity: Fiscal Responses to Crisis in Ireland and Spain",
abstract = "This paper adopts a new analytical approach to explaining choices in fiscal politics in Ireland and Spain between 2008 and 2010, in response to international economic crisis. It adopts a comparative cross-national research design to explore why two countries with similar pre-crisis fiscal profiles adopted radically different strategies in the initial phase of the crisis: Ireland adopted an orthodox deficit-reduction strategy, while Spain implemented a ‘heterodox’ stimulus fiscal package. Yet by mid-2010, Spain’s fiscal stance had converged with Ireland’s, as the wider European crisis deepened and the scope for autonomous national policy choice narrowed. The paper tracks this shift in a second stage of the research design, examining within-country variation over time, to provide a nuanced and sophisticated analysis of strategic choices at critical moments. It argues that the shift toward a European politics of austerity is different in a number of important ways from the older politics of fiscal consolidation, and that this has far-reaching implications not only for the evolution of European integration, but also for the balance between democratic politics and transnational markets.",
keywords = "new politics, austerity, fiscal responses, crisis, ireland, spain",
author = "{Dellepiane Avellaneda}, Sebastian and Niamh Hardiman",
year = "2012",
month = "2",
language = "English",
series = "Discussion Paper Series",
publisher = "UCD Geary Institute",
number = "WP2012/07",
type = "WorkingPaper",
institution = "UCD Geary Institute",

}

Dellepiane Avellaneda, S & Hardiman, N 2012 'The New Politics of Austerity: Fiscal Responses to Crisis in Ireland and Spain' Discussion Paper Series, no. WP2012/07, Dublin.

The New Politics of Austerity : Fiscal Responses to Crisis in Ireland and Spain. / Dellepiane Avellaneda, Sebastian; Hardiman, Niamh.

Dublin, 2012. (Discussion Paper Series; No. WP2012/07).

Research output: Working paper

TY - UNPB

T1 - The New Politics of Austerity

T2 - Fiscal Responses to Crisis in Ireland and Spain

AU - Dellepiane Avellaneda, Sebastian

AU - Hardiman, Niamh

PY - 2012/2

Y1 - 2012/2

N2 - This paper adopts a new analytical approach to explaining choices in fiscal politics in Ireland and Spain between 2008 and 2010, in response to international economic crisis. It adopts a comparative cross-national research design to explore why two countries with similar pre-crisis fiscal profiles adopted radically different strategies in the initial phase of the crisis: Ireland adopted an orthodox deficit-reduction strategy, while Spain implemented a ‘heterodox’ stimulus fiscal package. Yet by mid-2010, Spain’s fiscal stance had converged with Ireland’s, as the wider European crisis deepened and the scope for autonomous national policy choice narrowed. The paper tracks this shift in a second stage of the research design, examining within-country variation over time, to provide a nuanced and sophisticated analysis of strategic choices at critical moments. It argues that the shift toward a European politics of austerity is different in a number of important ways from the older politics of fiscal consolidation, and that this has far-reaching implications not only for the evolution of European integration, but also for the balance between democratic politics and transnational markets.

AB - This paper adopts a new analytical approach to explaining choices in fiscal politics in Ireland and Spain between 2008 and 2010, in response to international economic crisis. It adopts a comparative cross-national research design to explore why two countries with similar pre-crisis fiscal profiles adopted radically different strategies in the initial phase of the crisis: Ireland adopted an orthodox deficit-reduction strategy, while Spain implemented a ‘heterodox’ stimulus fiscal package. Yet by mid-2010, Spain’s fiscal stance had converged with Ireland’s, as the wider European crisis deepened and the scope for autonomous national policy choice narrowed. The paper tracks this shift in a second stage of the research design, examining within-country variation over time, to provide a nuanced and sophisticated analysis of strategic choices at critical moments. It argues that the shift toward a European politics of austerity is different in a number of important ways from the older politics of fiscal consolidation, and that this has far-reaching implications not only for the evolution of European integration, but also for the balance between democratic politics and transnational markets.

KW - new politics

KW - austerity

KW - fiscal responses

KW - crisis

KW - ireland

KW - spain

UR - http://www.ucd.ie/geary/static/publications/workingpapers/gearywp201207.pdf

M3 - Working paper

T3 - Discussion Paper Series

BT - The New Politics of Austerity

CY - Dublin

ER -

Dellepiane Avellaneda S, Hardiman N. The New Politics of Austerity: Fiscal Responses to Crisis in Ireland and Spain. Dublin. 2012 Feb. (Discussion Paper Series; WP2012/07).