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Une étude économétrique de l'impact des dépenses publiques et des prélèvements fiscaux sur l'activité économique au Québec et au Canada
[An econometric study of the impact of public spendings and taxes on economic activity, Quebec and Canada]

Author

Listed:
  • Louis, Phaneuf
  • Etienne, Wasmer

Abstract

In this paper, using a structural var approach, we find that in Quebec and Canada, fiscal shocks and spending shocks are relatively persistent, spending shocks being more persistent. Output shocks are the most persistent of all shocks. Public spending generate more output in the short-run but the increase is more modest. Distorsive effects of taxes reduce output.

Suggested Citation

  • Louis, Phaneuf & Etienne, Wasmer, 2005. "Une étude économétrique de l'impact des dépenses publiques et des prélèvements fiscaux sur l'activité économique au Québec et au Canada [An econometric study of the impact of public spendings and t," MPRA Paper 18542, University Library of Munich, Germany.
    • Handle: RePEc:pra:mprapa:18542
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    References listed on IDEAS

    as
    1. Barro, Robert J, 1981. "Output Effects of Government Purchases," Journal of Political Economy, University of Chicago Press, vol. 89(6), pages 1086-1121, December.
    2. Barro, Robert J, 1989. "The Ricardian Approach to Budget Deficits," Journal of Economic Perspectives, American Economic Association, vol. 3(2), pages 37-54, Spring.
    3. Aschauer, David Alan, 1988. "The Equilibrium Approach to Fiscal Policy," Journal of Money, Credit and Banking, Blackwell Publishing, vol. 20(1), pages 41-62, February.
    4. Ramey, Valerie A. & Shapiro, Matthew D., 1998. "Costly capital reallocation and the effects of government spending," Carnegie-Rochester Conference Series on Public Policy, Elsevier, vol. 48(1), pages 145-194, June.
    5. Hansen, Gary D., 1985. "Indivisible labor and the business cycle," Journal of Monetary Economics, Elsevier, vol. 16(3), pages 309-327, November.
    6. Baxter, Marianne & King, Robert G, 1993. "Fiscal Policy in General Equilibrium," American Economic Review, American Economic Association, vol. 83(3), pages 315-334, June.
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    Cited by:

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    More about this item

    Keywords

    Structural var; effect of public spendings and taxes on output;

    JEL classification:

    • E0 - Macroeconomics and Monetary Economics - - General

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