Monday, February 22, 2010

Robert Barro on Fiscal Stimulus

Take a look at the wsj collumn by Robert Barro (here).  We are pretty much in agreement on the effects of fiscal stimulus, although I think his use of war spending provides a substantial upward bias to the spending multiplier. 
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2 comments:

Secret Economist said...

I thought this was a nice list “50 Best Twitter Feeds to Follow the Economy” at
http://www.universityreviewsonline.com/2005/10/50-best-twitter-feeds-to-follow-the-economy.html.

February 24, 2010 at 10:59 AM
NorthGG said...

With all this focus on the deficit fuelled economy; just how much contraction can we expect to get the Federal budget deficit back under 3% of GDP on a trend basis if the private sector doesn't pick back up? Is the multilpier greater when cutting the deficit?

Many thanks.

February 24, 2010 at 12:22 PM

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