Fiscal policy: Its role in an independent Scotland

By Anthony J Laramie, Douglas Mair

PKES Working Paper 1307

November 2013

In this paper we consider the implications for macroeconomic fiscal policy in Scotland if the Scottish electorate votes in favour of independence in the referendum on 18 September, 2014. We offer the paper in the spirit of the new thinking that the Scottish government's Fiscal Commission has argued will be required if the potential benefits from the exercise of independently determined macroeconomic policy instruments are to be achieved.

Keywords: Scotland, fiscal policy, secession

JEL classification: E62 F52 H77 R11