and Latin American countries. The findings show that the social transfer multiplier is 0.3 in developed countries, but 0 … social transfer multiplier may be expected for this type of economy …

spending by $0.29. We translate the regional consumption responses to an aggregate fiscal multiplier using a multi-region, New … multiplier, a result that distinguishes our incomplete markets model from models with complete markets. The aggregate consumption … multiplier is 0.64, which implies an output multiplier higher than one. The aggregate consumption multiplier is larger than the …