Chao, Chi-Chur; Yu, Eden S H - In: Economica 60 (1993) 239, pp. 347-56
Utilizing a two-sector, general equilibrium model with variable returns-to-scale technology, the authors examine the effects of fiscal spending on the goods-price ratio, private income, government income, and national income in a neoclassical economy. The fiscal policy is contractionary when the...