IDEAS home Printed from https://ideas.repec.org/a/fip/fedreb/y2011iaugn11-8.html
   My bibliography  Save this article

Is stimulative fiscal policy more effective at the zero lower bound?

Author

Listed:
  • Renee Courtois Haltom
  • Pierre-Daniel G. Sarte

Abstract

Several recent research efforts have found that stimulative fiscal policy ? government spending or tax cuts ? can have unusual effects when nominal interest rates are as low as they are today. In particular, some studies have found that the government spending "multiplier" can be much larger at the zero lower bound. Despite these results, some caution is due when interpreting the size of the fiscal multiplier.

Suggested Citation

  • Renee Courtois Haltom & Pierre-Daniel G. Sarte, 2011. "Is stimulative fiscal policy more effective at the zero lower bound?," Richmond Fed Economic Brief, Federal Reserve Bank of Richmond, issue Aug.
    • Handle: RePEc:fip:fedreb:y:2011:i:aug:n:11-8
    as

    Download full text from publisher

    File URL: https://fraser.stlouisfed.org/files/docs/historical/frbrich/econbrief/frbrich_eb_11-08.pdf
    File Function: Full text
    Download Restriction: no
    File URL: http://www.richmondfed.org/publications/research/economic_brief/2011/eb_11-08.cfm
    Download Restriction: no
    ---><---

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Constantinos Alexiou & Joseph G. Nellis, 2017. "Cyclical Multiplier and Zero Low Bound Effects of Government Expenditure on Economic Growth: Evidence for Greece," Australian Economic Papers, Wiley Blackwell, vol. 56(2), pages 119-133, June.
    2. Matthew Canzoneri & Fabrice Collard & Harris Dellas & Behzad Diba, 2016. "Fiscal Multipliers in Recessions," Economic Journal, Royal Economic Society, vol. 126(590), pages 75-108, February.
    3. Nkrumah, Kwabena Meneabe, 2020. "Fiscal Policy Innovations in Advanced Economies," MPRA Paper 98740, University Library of Munich, Germany.
    4. Nkrumah, Kwabena Meneabe, 2018. "Essays In Fiscal Policy And State Dependence Fiscal Policy Innovations Using A New Econometric Approach," MPRA Paper 98689, University Library of Munich, Germany.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:fip:fedreb:y:2011:i:aug:n:11-8. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Christian Pascasio (email available below). General contact details of provider: https://edirc.repec.org/data/frbrius.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.