Molana, Hassan; Montagna, Catia; Kwan, Chang Yee - Department of Economics Studies, University of Dundee - 2010
In the theoretical macroeconomics literature, fiscal policy is almost uniformly taken to mean taxing and spending by a ‘benevolent government’ that exploits the potential aggregate demand externalities inherent in the imperfectly competitive nature of goods markets. Whilst shown to raise...
