Are government spending shocks inflationary at the zero lower bound (ZLB)? Despite the importance of the inflation … Keynesian models, which predict a larger fiscal multiplier following fiscal expansion at the ZLB - driven by rising inflation …

This paper investigates the impact of fiscal shocks on inflation, using a large panel of 139 countries over the period … 1970–2021. First, both headline and core measures of inflation increase in response to expansionary shifts in the fiscal … with care in aggregate demand management as it has significant effects on inflation, which are highly dependent on fiscal …

productivity of the economy. Trends in social consumption/GDP, and in fiscal policy, reflected political regime changes in France …

adverse consequences for aggregate labor productivity. Using high-quality administrative data from Germany, we document that … data predicts 10 percent lower aggregate labor productivity in East Germany. …

levels, inflation and interest rate; and (ii) interestingly, an increase in the government spending is not always offset by …

productivity to increase in the face of a fiscal expansion, thus overcoming the negative wealth effect. As a result, the response … between house prices, business formation and productivity finds strong support in both regional and aggregate data. …