public consumption as well as total factor and capital equipment productivity. Our main finding is that an empirically …

between public consumption and production services. The main theoretical prediction is that forward-looking incumbents, with … productivity of public production services, the weight which households place on public consumption services relative to private … consumption and the time discount rate. Moreover, we find that changes in electoral uncertainty produce the longest lasting …

multipliers above unity if infrastructure spending and rising public debt are financed by consumption, dividend and labour income … taxes and below one for corporate taxes. We also show that except for the consumption tax, the size of the multipliers …