Showing 1 - 2 of 2
We empirically revisit the crowding-in effect of government spending on private consumption based on rolling windows of … U.S. data. Results show that in earlier samples government spending is increasingly crowding in private consumption … consumption in the utility function and rule-of-thumb consumers to assess the sources of non-monotonic changes in the transmission …
Persistent link: https://www.econbiz.de/10012956500
We study empirically the reaction of fiscal policy to changes in the permanent and transitory components of GDP in a panel of countries. We find evidence that government spending tends to be counter-cyclical conditional on temporary shocks and pro-cyclical conditional on permanent shocks. We...
Persistent link: https://www.econbiz.de/10012993726