percent of GDP generates output and unemployment multipliers respectively of about 1.2 per cent (at one year) and 0 … output multiplier whereas it can produce a realistic unemployment multiplier but only under a special parameterization …. Extending the model to strengthen the complementarity in preferences, to include unemployment benefits, real wage rigidity and …

world. Compared to existing models of this type, GEAR incorporates a comprehensive fiscal block, involuntary unemployment …

I calculate unemployment multipliers of fiscal consolidation policies in a standard, closed-economy New Keynesian … percentage of family firms in the labor force. I find that fiscal austerity raises unemployment. Both at peak and cumulatively …, unemployment reacts least when the budget is consolidated by increasing the rate of value-added tax. At peak, the highest increase …

increased government purchases crowd out private consumption? 2) do increased government purchases reduce unemployment? Farmer … also reduce unemployment …

countries experiencing larger increases in unemployment and where credit growth during the pre-crisis period was more rapid …

This paper uses a model with a continuum of equilibrium steady state unemployment rates to explore the effectiveness of …. I use the model to explain the current financial crisis as a shift to a high unemployment equilibrium, induced by the …

periods of high unemployment in the U.S. In every case, the estimated multipliers are below unity. We do find some evidence of …

rigidity makes the economy prone to involuntary unemployment during external crises. This paper presents a graphical analysis …

This paper explores the interaction between fiscal policy and unemployment. It develops a dynamic economic model in … which unemployment can arise but can be mitigated by tax cuts and public spending increases. Such policies are fiscally … determination of fiscal policy and unemployment in long run equilibrium. Outcomes with both a benevolent government and political …