This paper evaluates optimal public investment and fiscal policy for countries characterized by limited tax and debt … capacities. We study a non stochastic CRS endogenous growth model where public expenditure is an input in the production process … effective tax rate. We show how persistent differences in growth rates across countries could stem from differential public …

over 14% of GDP in Europe in the 1970s to 9.9% in the 1980s -- may not only create lower real incomes and slower growth but … may weaken capitalism itself. In the US a decade of slow growth has increased protectionist tendencies in international … technology of private investment. Government policies that discourage saving might make the Schumpeterian vision of a shift from …

prices with investment and production. We use the model to calculate theoretical covariances between investment, the current … stochastic processes on disturbances to productivity and monetary growth rates. International capital flows arise from changes in … flows, exchange rates, investment, and the terms of trade are critically dependent on optimal portfolio allocations and the …

This paper uses a quasi natural experiment to explore how financial education changes savings, investment, and consumer …

savings rate, banking system, financial markets, financial regulations, corporate governance, and public finances; and …

In 2007, countries in the euro periphery were enjoying stable growth, low deficits, and low spreads. Then the financial … reallocated from the private to the public sectors, reducing investment and deepening the recessions even further. To account for …. This implies that domestic debt purchases displace productive investment. The model shows that these purchases reduce …

It is well understood that investment serves as a shock absorber at the time of crisis. The duration of the drag on … investment, however, is perplexing. For the nine Asian economies we focus on in this study, average investment/GDP is about 6 … between the sustained reserve accumulation and the persistent and significantly lower levels of investment in the region. Put …

investment rates observed in OECD countries. We find that once controlling for general equilibrium effects the saving …