Quantifying the Inflationary Impact of Fiscal Stimulus Under Supply Constraints / Julian di Giovanni, Ṣebnem Kalemli-Özcan, Alvaro Silva, Muhammed A. Yildirim.

Format:

Book

Author/Creator:

di Giovanni, Julian.

Contributor:

National Bureau of Economic Research.

Kalemli-Özcan, Ṣebnem.

Silva, Alvaro.

Yildirim, Muhammed A.

Series:

Working Paper Series (National Bureau of Economic Research) no. w30892.

NBER working paper series no. w30892

Language:

English

Physical Description:

1 online resource: illustrations (black and white);

Place of Publication:

Cambridge, Mass. National Bureau of Economic Research 2023.

Summary:

This paper builds on Baqaee and Farhi (2022) and di Giovanni et al. (2022) to quantify the contribution of fiscal policy on U.S. inflation over the Dec-2019 to June-2022 period. Model calibrations show that aggregate demand shocks explain roughly two-thirds of total model-based inflation, and that the fiscal stimulus contributed half or more of the total aggregate demand effect.

Notes:

Print version record

January 2023.