Espinosa-Vega, Marco A.; Yip, Chong Kee - 2014
intermediaries to examine the effects of alternative government financing schemes on growth, inflation, and welfare. We find that in … tax base by means of an increase in the reserve requirement retards growth and has an ambiguous effect on inflation. An … increase in income tax?financed government spending also suppresses growth and raises inflation although not to the extent that …