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Fiscal policy and private consumption in industrial and developing countries

Schclarek Curutchet, Alfredo LU (2007) In Journal of Macroeconomics 29(4). p.912-939
Abstract
This paper empirically studies the effects of fiscal policy shocks on private consumption. Further, it investigates if the initial financing needs of the government or previous fiscal deficits affect that relationship. We use yearly data between 1970 and 2000 for 40 countries, of which 19 are industrialized and 21 are developing countries. In general, the estimation results seem to indicate that government consumption shocks have Keynesian effects for both industrial and developing countries. In the case of tax shocks, the evidence is mixed. Furthermore, there is no evidence that favors the hypothesis of expansionary fiscal consolidations. (c) 2007 Elsevier Inc. All rights reserved.
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author
organization
publishing date
type
Contribution to journal
publication status
published
subject
keywords
government expenditure, developing countries, taxation, fiscal policy, private consumption
in
Journal of Macroeconomics
volume
29
issue
4
pages
912 - 939
publisher
LOUISIANA STATE UNIV PR
external identifiers
  • wos:000251469800015
  • scopus:35548987412
ISSN
1873-152X
DOI
10.1016/j.jmacro.2006.03.002
language
English
LU publication?
yes
id
ec2a9eb4-a3f7-4d45-8df1-96273cf3b8c8 (old id 966275)
date added to LUP
2008-01-30 14:22:12
date last changed
2017-01-01 05:08:55
@article{ec2a9eb4-a3f7-4d45-8df1-96273cf3b8c8,
  abstract     = {This paper empirically studies the effects of fiscal policy shocks on private consumption. Further, it investigates if the initial financing needs of the government or previous fiscal deficits affect that relationship. We use yearly data between 1970 and 2000 for 40 countries, of which 19 are industrialized and 21 are developing countries. In general, the estimation results seem to indicate that government consumption shocks have Keynesian effects for both industrial and developing countries. In the case of tax shocks, the evidence is mixed. Furthermore, there is no evidence that favors the hypothesis of expansionary fiscal consolidations. (c) 2007 Elsevier Inc. All rights reserved.},
  author       = {Schclarek Curutchet, Alfredo},
  issn         = {1873-152X},
  keyword      = {government expenditure,developing countries,taxation,fiscal policy,private consumption},
  language     = {eng},
  number       = {4},
  pages        = {912--939},
  publisher    = {LOUISIANA STATE UNIV PR},
  series       = {Journal of Macroeconomics},
  title        = {Fiscal policy and private consumption in industrial and developing countries},
  url          = {http://dx.doi.org/10.1016/j.jmacro.2006.03.002},
  volume       = {29},
  year         = {2007},
}