Brinca, Pedro; Holter, Hans A.; Krusell, Per; Malafry, … - Robert Schuman Centre for Advanced Studies (RSCAS), … - 2014
The recent experience of a Great Recession has brought the effectiveness of fiscal policy back into focus. Fiscal multipliers do, however, vary greatly over time and place. between wealth inequality and the magnitude of fiscal multipliers. To explain this finding, we develop a life-cycle,...