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

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 …

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