Feyrer, James; Shambaugh, Jay C. - National Bureau of Economic Research (NBER) - 2009
This paper examines the effect of exogenous shocks to savings on world capital markets. Using the exogenous shocks to US tax policy identified by Romer & Romer, we trace the impact of an exogenous shock to savings through the income accounting identities of the US and the rest of the world. We...