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Consumption and Government-Budget Finance in a High-Deficit Economy / Leonardo Leiderman, Assaf Razin.

NBER Working papers Available online

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Format:
Book
Author/Creator:
Leiderman, Leonardo.
Contributor:
National Bureau of Economic Research.
Razin, Assaf.
Series:
Working Paper Series (National Bureau of Economic Research) no. w2032.
NBER working paper series no. w2032
Language:
English
Subjects (All):
Consumption (Economics)--Mathematical models.
Consumption (Economics).
Physical Description:
1 online resource: illustrations (black and white);
Place of Publication:
Cambridge, Mass. National Bureau of Economic Research 1986.
Cambridge, Massachusetts : National Bureau of Economic Research, 1986.
Summary:
This paper characterizes empirically how government budget variables, such as spending, taxes, and deficits, affected private-sector consumption in the high-budget-deficit economy of Israel during the first half of the 1980s. The paper develops and estimates an intertemporal optimizing model of consumption choice by finite-lived individuals. The evidence supports this formulation against the Ricardian infinite-horizon case, but it does not support it when compared to the unrestricted relations in the data.
Notes:
Print version record
September 1986.

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