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Home Bias In Government Spending And Quasi Neutrality Of Fiscal Shocks

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  • GANELLI, GIOVANNI

Abstract

We show how introducing home bias in government spending in the redux model generates quasi neutrality of fiscal policy shocks. We offer an intuitive explanation for this result and we stress its policy implications.

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  • Ganelli, Giovanni, 2005. "Home Bias In Government Spending And Quasi Neutrality Of Fiscal Shocks," Macroeconomic Dynamics, Cambridge University Press, vol. 9(2), pages 288-294, April.
    • Handle: RePEc:cup:macdyn:v:9:y:2005:i:02:p:288-294_04
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    Cited by:

    1. Gulzar Khan & Ather Maqsood Ahmed, 2020. "Understanding Business Cycle Fluctuations in Pakistan," The Pakistan Development Review, Pakistan Institute of Development Economics, vol. 59(1), pages 1-28.
    2. Di Giorgio, Giorgio & Traficante, Guido, 2018. "Fiscal shocks and helicopter money in open economy," Economic Modelling, Elsevier, vol. 74(C), pages 77-87.
    3. Giorgio Di Giorgio Author-Name-First Giorgio & Salvatore Nistico' Author-Name-First Salvatore & Guido Traficante Author-Name-First Guido, 2014. "Fiscal shocks and the exchange rate," Working Papers CASMEF 1401, Dipartimento di Economia e Finanza, LUISS Guido Carli.
    4. Di Giorgio, Giorgio & Nisticò, Salvatore & Traficante, Guido, 2018. "Government spending and the exchange rate," International Review of Economics & Finance, Elsevier, vol. 54(C), pages 55-73.

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