Sgro, Pasquale M; Lagana, Gianluca - In: Economics Bulletin 31 (2011) 2, pp. 1856-1868
A factor-augmented vector autoregressive (FAVAR) model is applied to determine the effects of a rise in US government expenditure on the United States and Canadian economies. The results obtained reasonably characterize the effect of a rise in US government spending to the United States and...