How Little We Know About Budget Policy Effects

Public
Creator Series Issue number
  • 120
Date created
  • 1989-04
Abstract
  • Using a simple model, we show why previous empirical studies of budget policy effects are flawed. Due to an identification problem, those studies’ findings can be shown to be consistent with either policies mattering or not.

Related information Date modified
  • 06/02/2020
Corporate Author
  • Federal Reserve Bank of Minneapolis. Research Department
Publisher
  • Federal Reserve Bank of Minneapolis
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