In the literature neither taxes, government spending nor deficits are robustly correlated with economic growth when evaluated individually. The lack of correlation may arise from the inability of any single budgetary component to fully capture the stance of fiscal policy. We use pair-wise...

A key factor in forecasting a region's growth is anticipating how a region will respond to changes in national policy. One important way national policy affects a region is through real interest rates. Forecasting regional growth, therefore, requires good estimates of the interest rate...

Free trade is rapidly expanding the world marketplace, providing new opportunities to raise living standards and stimulate long-term economic growth. To capitalize on these opportunities, the United States must overcome problems that reduce its competitiveness, such as regulations that distort...