Show simple item record

dc.contributor.authorRagot, Xavier
dc.contributor.authorChalle, Edouard
dc.date.accessioned2010-05-03T10:27:45Z
dc.date.available2010-05-03T10:27:45Z
dc.date.issued2007-12
dc.identifier.urihttps://basepub.dauphine.fr/handle/123456789/4075
dc.language.isoenen
dc.subjectPublic debten
dc.subjectFiscal policy shocksen
dc.subjectBorrowing constraintsen
dc.subject.ddc339en
dc.subject.classificationjelE21en
dc.subject.classificationjelE62en
dc.titlePublic Spending Shocks in a Liquidity Constrained Economyen
dc.typeCommunication / Conférence
dc.description.abstractenThis paper analyses the effects of transitory increases in government spending when public debt is used as liquidity by the private sector. Aggregate shocks are introduced into an incomplete-market economy where heterogenous, infitely-lived households face occasionally binding borrowing constraints and store wealth to smooth out idiosyncratic income fluctuations. Debt-financed increases in public spending facilitate self-insurance by bond holders and may crowd in private consumption. The implied higher stock of liquidity also loosens the borrowing constraints faced by firms, thereby raising labour demand and possibly the real wage.en
dc.identifier.citationpages19en
dc.description.sponsorshipprivateouien
dc.subject.ddclabelMacroéconomieen
dc.relation.conftitleEuropean Economic Association & Econometric Society : Parallel Meetingsen
dc.relation.confdate2008-08
dc.relation.confcityMilanen
dc.relation.confcountryItalieen


Files in this item

Thumbnail

This item appears in the following Collection(s)

Show simple item record