. Specifically, we use sign restrictions to identify a government revenue shock as well as a government spending shock, while … controlling for a generic business cycle shock and a monetary policy shock. We explicitly allow for the possibility of … announcement effects, i.e., that a current fiscal policy shock changes fiscal policy variables in the future, but not at present …

fiscal shocks. We test the theory using data from World War II, which is by far the largest fiscal shock in the history of … data. Our main finding is that the theory quantitatively accounts for macroeconomic activity during this big fiscal shock …

This paper investigates the response of real wages and hours worked to an exogenous shock in fiscal policy. We identify … this shock with the dynamic response of government purchases and tax rates to an exogenous increase in military purchases …

to which the leading shock candidates can explain fluctuations in output and hours. It concludes that we are much closer …

products: while two prefectures may experience the same shock in dollar terms, the one specializing in the dirty sector has a …