The fiscal multiplier: positive or negative?

This study examines whether the fiscal multiplier can be negative for certain types of government spending. The key result is that the fiscal multiplier can be negative if there is a high degree of substitutability between private and government consumption and government consumption is complementary to leisure.

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Year of publication:	2009-09
Authors:	Tervala, Juha
Institutions:	Turun Kauppakorkeakoulu, Turun Yliopisto
Subject:	fiscal policy \| fiscal multiplier \| effectiveness of fiscal policy

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Extent:	application/pdf
Series:	Discussion Papers. - ISSN 1796-3133.
Type of publication:	Book / Working Paper
Language:	English
Notes:	Number 54 1 pages long
Classification:	E62 - Fiscal Policy; Public Expenditures, Investment, and Finance; Taxation ; H31 - Household ; H42 - Publicly Provided Private Goods
Source:	RePEc - Research Papers in Economics

Persistent link: https://www.econbiz.de/10005025332