Fiscal Policy

Fiscal Policy

  • the us federal budget

    The Great Recession's Effect on the Federal Budget

    Tuesday, May 31, 2016

    The federal budget’s components—revenues, outlays, deficit and publicly held debt—have changed a lot, but the budget itself hasn’t.

  • fiscal policy monetary policy

    Are Fiscal and Monetary Policies Interdependent?

    Tuesday, September 29, 2015

    The inflation rate, for instance, matters a great deal to both fiscal and monetary policy.

  • recovery act school jobs

    How Did the Recovery Act Impact School Jobs?

    Monday, April 06, 2015

    The federal government reported that more than 750,000 education jobs were funded due to the American Recovery and Reinvestment Act in the first two years after its passage. However, these numbers don’t account for what would have happened to these jobs in absence of the Recovery Act. When this is factored in, the total impact appears much smaller.

  • emerging market volatility

    Emerging Economies' Vulnerability to Monetary Policy Changes

    Tuesday, February 03, 2015

    Countries with weaker economic fundamentals experienced higher currency volatility and capital flows.

  • Fiscal Policy Spillovers: Points of Employment to Places of Residence

    In this paper, we study the effects of interregional spillovers from the government spending component of the American Recovery and Reinvestment Act of 2009 (the Recovery Act).

  • Taxing Top Earners: A Human Capital Perspective

    We assess the consequences of substantially increasing the marginal tax rate on U.S. top earners using a human capital model.

  • Fiscal Policy icon

    Fiscal Policy Online Course for Consumers

    Inflation, unemployment, recession, economic growth—these economic concepts affect people in very real ways. In two thought-provoking, interactive lessons, learn about fiscal policy, the avenue by which Congress and the president attempt to influence the economy. Graphs compliments of FRED.

    More about the Fiscal Policy online course.

  • Regional Economist article
  • The Expected Inflation Channel of Government Spending in the Postwar U.S.

    There exist sticky price models in which the output response to a government spending change can be large if the central bank is nonresponsive to inflation.

  • Is Government Spending a Free Lunch? — Evidence from China

    Most empirical studies based on U.S. data suggest that the fiscal multiplier is less than 1 (e.g., Barro and Redlick, 2011). However, Keynes argued that the multiplier would be the largest when markets have failed to the greatest extent in coordinating economic activities (such as during the Great Depression with rampant unemployment and low capacity utilization).


Subscribe by email and be the first to know when we post new issues of our publications and newsletters and update content on our website. Your email address will only be used to deliver the requested information.