Herrera Aguilera, Santiago (contributor); … - 2008
inflation and an oil prices.
The volatility of fiscal policy is calculated as the standard deviation of ε
i,t
for any … to instrument for
current output growth: two lags of output growth; index of oil prices; lagged inflation;
lagged value …: difference in the log of the series GDP (constant LCU) from the WDI
Inflation: difference in the log of the series GDP deflator …