Analyzing pure fiscal actions in an IS-LM setting is a common exercise in current macromonetary textbook literature. As far as the role these analyses Abstract assign to the monetary sector is concerned, this literature offers two contradictory portrayals. One describes thefiscal action's...

Inflation acts as a tax on private monetary wealth, thereby enabling the government to command real resources via inflationary monetary issue. Curiously, the inflation tax on money concept has never been integrated into the IS-LM tradition of macroeconomic analysis. This article illustrates how...

Utilizing three U. S. Senate votes on indexation, this article statistically examines the relationship between public spending tendencies of legislators and their votes on indexing the tax code. Heretofore, the public finance literature has argued that periodic discretionary tax cuts have offset...

Within the last few years, two articles in this journal (one ours) have discussed the relationship between product quality, excise taxes, and tax revenue. The articles are marked by seemingly contradictory results regarding the effect specific taxes and ad valorem taxes have on product quality....

This article offers an example of a national constitution, that of the Confederate States of America, which effectively constrained its fiscal authorities to tax rates on the lower end of the Laffer relationship. The taxes were Confederate import tariffs. Drawing on primary sources, the paper...

Pure fiscal actions—fiscal actions that leave the money supply unchanged—cannot alter aggregate demand without concomitant support from the monetary sector. At the initial level of output, either the demand for money or the quantity of money demanded must change appropriately....