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Alternative Policies for US Economic Recovery

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  • Byron Gangnes

    ()
    (Department of Economics, University of Hawaii at Manoa)

Abstract

Recovery has begun in the United States and global economies. The US recovery is likely to be anemic by historical standards, raising the possibility that additional stimulus may be desirable. The President and Democrats in Congress have called for a “jobs bill,” and the Federal Reserve has demonstrated that it has a flexible toolkit for providing additional liquidity if deemed appropriate. The possible need for such stimulus will come up against the reality of an expanding public debt on the one hand, and inflationary concerns on the other. In this paper, I use simulations of the IHS Global Insight Model to assess the potential impact on the recovery path of alternative macro policies.

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File URL: http://www.economics.hawaii.edu/research/workingpapers/WP_10-2.pdf
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Bibliographic Info

Paper provided by University of Hawaii at Manoa, Department of Economics in its series Working Papers with number 201002.

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Length: 31 pages
Date of creation: 08 Feb 2010
Date of revision:
Handle: RePEc:hai:wpaper:201002

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Keywords: United States (US) recession and recovery; fiscal and monetary policy; econometric model forecast simulation; IHS Global Insight model;

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  1. F. Gerard Adams, 2009. "Will Economic Recovery Drive up World Oil Prices?," World Economics, World Economics, Economic & Financial Publishing, 1 Ivory Square, Plantation Wharf, London, United Kingdom, SW11 3UE, vol. 10(2), pages 1-26, April.
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