Narrow search
Showing 1 - 10 of 7,175
Cover Image
State-Dependent Local Projections : Understanding Impulse Response Heterogeneity
Cloyne, James; Jordà, Òscar; Taylor, Alan M. - National Bureau of Economic Research - 2023
decomposition-based approach, we show how to unpack heterogeneity in the fiscal multiplier, an object that at any point in time may … our application, the fiscal multiplier varies considerably with monetary policy: it can be as small as zero, or as large …
Persistent link: https://www.econbiz.de/10014226168
Cover Image
Do Government Spending Multipliers Depend on the Sign of the Shock?
Ben Zeev, Nadav; Ramey, Valerie A.; Zubairy, Sarah - National Bureau of Economic Research - 2023
We analyze whether government spending multipliers differ by the sign of the shock. Using aggregate historical U.S. data, we apply Ben Zeev's (2020) nonlinear diagnostic tests and find evidence of nonlinearities in the impulse response functions of both government spending and GDP. We then...
Persistent link: https://www.econbiz.de/10014247936
Cover Image
The Time for Austerity : Estimating the Average Treatment Effect of Fiscal Policy
Jordà, Òscar - 2013
After the Global Financial Crisis a controversial rush to fiscal austerity followed in many countries. Yet research on the effects of austerity on macroeconomic aggregates was and still is unsettled, mired by the difficulty of identifying multipliers from observational data. This paper...
Persistent link: https://www.econbiz.de/10012459247
Cover Image
Fiscal Multipliers : Liquidity Traps and Currency Unions
Farhi, Emmanuel - 2012
We provide explicit solutions for government spending multipliers during a liquidity trap and within a fixed exchange regime using standard closed and open-economy models. We confirm the potential for large multipliers during liquidity traps. For a currency union, we show that self-financed...
Persistent link: https://www.econbiz.de/10012460278
Cover Image
Local Projections
Jordà, Òscar; Taylor, Alan M. - National Bureau of Economic Research - 2024
A central question in applied research is to estimate the effect of an exogenous intervention or shock on an outcome. The intervention can affect the outcome and controls on impact and over time. Moreover, there can be subsequent feedback between outcomes, controls and the intervention. Many of...
Persistent link: https://www.econbiz.de/10015056147
Cover Image
State Dependent Government Spending Multipliers : Downward Nominal Wage Rigidity and Sources of Business Cycle Fluctuations
Jo, Yoon J.; Zubairy, Sarah - National Bureau of Economic Research - 2022
spending multiplier is large when DNWR binds, but the nature of recession matters due to the opposing response of inflation. In …
Persistent link: https://www.econbiz.de/10013210053
Cover Image
Fiscal Policy in the Age of COVID : Does it ‘Get in all of the Cracks?'
Gourinchas, Pierre-Olivier; Kalemli-Ozcan, Sebnem; … - National Bureau of Economic Research - 2021
) Globally, fiscal policy helped offset about 8% of the downturn in COVID, with a low 'traditional' fiscal multiplier. Yet it …
Persistent link: https://www.econbiz.de/10012629513
Cover Image
Ten Years after the Financial Crisis : What Have We Learned from the Renaissance in Fiscal Research?
Ramey, Valerie A. - 2019
This paper takes stock of what we have learned from the "Renaissance" in fiscal research in the ten years since the financial crisis. I first summarize the new innovations in methodology and discuss the various strengths and weaknesses of the main approaches. Reviewing the estimates, I come to...
Persistent link: https://www.econbiz.de/10012479486
Cover Image
The Fiscal Multiplier
Hagedorn, Marcus - 2019
We measure the size of the fiscal multiplier using a heterogeneous-agent model with incomplete markets, capital and …We find that market incompleteness is key to determining the size of the fiscal multiplier, which is uniquely … determined in our model for any combination of fiscal and monetary policies of interest. The multiplier is 1.34 if deficit …
Persistent link: https://www.econbiz.de/10012479524
Cover Image
Decomposing the Fiscal Multiplier
Cloyne, James S. - 2020
The fiscal "multiplier" measures how many additional dollars of output are gained or lost for each dollar of fiscal … stimulus or contraction. In practice, the multiplier at any point in time depends on the monetary policy response and existing …, we show how to quantify the importance of these monetary-fiscal interactions. In the data, the fiscal multiplier varies …
Persistent link: https://www.econbiz.de/10012481896