What Determines Government Spending Multipliers? / / Gernot Müller, Andre Meier, Giancarlo Corsetti

• Autore: Müller Gernot
• Pubblicazione: Washington, D.C. : , : International Monetary Fund, , 2012
• Descrizione fisica: 1 online resource (47 p.)
• Soggetto topico: Multiplier (Economics); Monetary policy; Financial Risk Management; Foreign Exchange; Public Finance; Fiscal Policy; Comparative or Joint Analysis of Fiscal and Monetary Policy; Stabilization; Treasury Policy; Open Economy Macroeconomics; National Government Expenditures and Related Policies: General; Financial Crises; Public finance & taxation; Currency; Foreign exchange; Macroeconomics; Economic & financial crises & disasters; Expenditure; Fiscal policy; Financial crises; Exchange rate arrangements; Real exchange rates; Expenditures, Public
• Soggetto geografico: United States
• Altri autori: MeierAndre CorsettiGiancarlo
• Note generali: Description based upon print version of record.
• Nota di bibliografia: Includes bibliographical references.
• Nota di contenuto: Cover; 1 Introduction; 2 Fiscal policy in different economic environments; 2.1 A theoretical benchmark; 2.2 Pegged exchange rates; 2.3 Weak public finances; 2.4 Financial crises; 3 Empirical strategy; 3.1 Identification issues; 3.2 The first step: Identifying government spending shocks; 3.3 The second step: Tracing the effects of government spending in different economic environments; 3.4 The data; 4 Systematic and non-systematic changes in government spending; 5 The effects of government spending shocks; 5.1 Unconditional effects; 5.2 Accounting for the economic environment ; 5.3 Sensitivity analysis6 Conclusion; References; Tables; Table 1. Composition of Initial and Final Samples; Table 2. Data Sources and Definitions; Table 3. Results of First-Step Regression; Table 4. Summary Statistics for Estimated Government Spending Shocks; Table 5. Overview of Dummy Characteristics; Figure 5: Results for narrow definition of financial crisis; Figure 6: Results for alternative definition of weak public finances (government debt > 120 percent of GDP and/or lagged net borrowing > 7 percent of GDP); Figure 7: Results for difference specification ; Figure 8: Results for first-step specification which includes contemporaneous value of crisis dummyFigure 9: Results without CLI in first step; Figure 10: Results for sample without 2007-2008; Figure 11: Results for sample without United States
• Sommario/riassunto: This paper studies how the effects of government spending vary with the economic environment. Using a panel of OECD countries, we identify fiscal shocks as residuals from an estimated spending rule and trace their macroeconomic impact under different conditions regarding the exchange rate regime, public indebtedness, and health of the financial system. The unconditional responses to a positive spending shock broadly confirm earlier findings. However, conditional responses differ systematically across exchange rate regimes, as real appreciation and external deficits occur mainly under currency pegs. We also find output and consumption multipliers to be unusually high during times of financial crisis.
• Titolo autorizzato: What Determines Government Spending Multipliers
• ISBN: 1-4755-2871-X; 1-4755-5692-6
• Formato: Materiale a stampa
• Livello bibliografico: Monografia
• Lingua di pubblicazione: Inglese
• Record Nr.: 9910779500803321
• Lo trovi qui: Univ. Federico II
• Serie: IMF Working Papers; Working Paper ; ; No. 2012/150