The inflation hangover in public finances
Workshop
Oesterreichische Nationalbank
The Fiscal Council organized a workshop on the topic “The Inflation Hangover in Public Finances.” The conference was held in cooperation with the EU Independent Fiscal Institutions (EU IFIs).
High inflation leaves lasting marks on public finances. This workshop brought together leading economists and policymakers to examine how recent inflation shocks affect government budgets, debt dynamics, and fiscal sustainability — and what policy responses are best suited to address these challenges. Followed by the discussion on lessons learned, long‑term impacts, and options for managing the fiscal situation in the wake of inflation.
Workshop programme
(Presentations are linked).
Welcome and opening remarks
Christoph Badelt, President, Austrian Fiscal Advisory Council
Scene setter: Cause and effect of high inflation episodes
Martin Kocher, Governor, Oesterreichische Nationalbank
Session 1: Inflation shocks and public finances: stylized facts
Chair: Elisabeth Springler, University of applied Sciences (BFI Vienna), and Member, Austrian Fiscal Advisory Council
Presentations (linked)
Dubravko Mihaljek, Former Head of Section, Bank for International Settlements
Clemens Jobst, Professor, University of Vienna
General discussion
Session 2: Long-term impact of major inflation shocks on public finances
Chair: Margit Schratzenstaller, Austrian Institute of Economic Research (WIFO), and Member, Austrian Fiscal Advisory Council
Presentations
Philip Rother, Head of Section, European Central Bank
Nicolas Carnot, Head of Secretariat, High Council of Public Finances, France
General discussion
Panel discussion: Optimal policy response to the recent high-inflation episode
Chair: Wolf Heinrich Reuter, Director, Oesterreichische Nationalbank, and Member, Austrian Fiscal Advisory Council
Presentation: Price interventions vs. transfers
Johannes Holler, Office of the Austrian Fiscal Advisory Council
Panelists:
Lilia Cavallari, President, Parliamentary Budget Office, Italy, and Chair, European Independent Fiscal Institutions (EU IFI) Netzwerk
Monika Köppl-Turyna, Director, EcoAustria
Gabriel Felbermayr, Director, Austrian Institute of Economic Research (WIFO)
Christoph Badelt, President, Austrian Fiscal Advisory Council
General discussion
