price shock studies, the aim of this paper is to test the impacts of symmetric oil price shocks on government expenditure …-real exchange rate nexus and ultimately, to check the conformity of symmetric oil price shock findings to those prevailing in …

of Asdrubali et al. (1996). Their framework allows us to estimate the degree of smoothing of a shock to a state’s gross … contribute another 17.5 percent. The government sector’s role is diminished: it smoothes around 10 percent of a shock. For this …