spending cuts are much less costly, in terms of output losses, than tax-based ones and have especially low output costs when … they consist of permanent rather than stop and go changes in taxes and spending. The difference between tax-based and …

based upon spending cuts are much less costly, in terms of output losses, than tax-based ones. Fiscal adjustments have …

fiscal correction occurs. Adjustments based upon spending cuts are much less costly in terms of output losses than tax … at all. Tax-based adjustments have been associated with prolonged and deep recessions. The difference cannot be explained … plans, rather than individual fiscal shocks, we obtain much more precise estimates of tax and spending multipliers …