Cestau, Dario; Green, Richard C.; Schürhoff, Norman - In: Journal of Monetary Economics 60 (2013) 5, pp. 593-608
Build America Bonds (BABs) were issued by municipalities for 20 months as a part of the 2009 fiscal package. Unlike traditional tax-exempt municipals, BABs are taxable to the holder, but the Treasury rebates 35% of the coupon to the issuer. The stated purpose was to provide municipalities access...
