Fiscal multipliers in a small open economy: the case of Austria

J 2022

Fiscal multipliers in a small open economy: the case of Austria

ČAPEK, Jan, Jesús CRESPO CUARESMA, Johannes HOLLER and Philip SCHUSTER

Basic information

Original name

Fiscal multipliers in a small open economy: the case of Austria

Authors

ČAPEK, Jan (203 Czech Republic, guarantor, belonging to the institution), Jesús CRESPO CUARESMA (724 Spain, belonging to the institution), Johannes HOLLER (40 Austria) and Philip SCHUSTER (40 Austria)

Edition

OXFORD ECONOMIC PAPERS-NEW SERIES, Oxford, Oxford University Press, 2022, 0030-7653

Other information

Language

English

Type of outcome

Článek v odborném periodiku

Field of Study

50202 Applied Economics, Econometrics

Country of publisher

United Kingdom of Great Britain and Northern Ireland

Confidentiality degree

není předmětem státního či obchodního tajemství

References:

URL

Impact factor

Impact factor: 1.200

RIV identification code

RIV/00216224:14560/22:00119117

Organization unit

Faculty of Economics and Administration

DOI

http://dx.doi.org/10.1093/oep/gpab027

UT WoS

000764498700001

Keywords in English

fiscal multiplier;small open economy;SVAR;FAVAR;Austria

Abstract

V originále

We estimate fiscal multipliers for Austria in a framework of model uncertainty emanating from the choice of a particular econometric model. We present a comprehensive framework that allows to assess the effects of different multiplier definitions and choices related to the data, the model employed, and further technical choices associated with the specification of the model exert on fiscal multiplier estimates. The mean present-value government spending multiplier over all models entertained, based on around 3,000 estimates, is 0.68. Estimates of the peak spending multiplier for Austria tend to be larger than present-value spending multipliers, with a mean value of 0.85. The magnitude of the present-value tax multiplier is relatively high, with an average value across specifications of −1.12 and the mean peak tax multiplier is −0.54 for all specifications used.

Links

GA17-14263S, research and development project

Name: Dynamické průměrování předpovědí makroekonomických modelů

Investor: Czech Science Foundation

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Citovat

ČAPEK, Jan, Jesús CRESPO CUARESMA, Johannes HOLLER and Philip SCHUSTER. Fiscal multipliers in a small open economy: the case of Austria. OXFORD ECONOMIC PAPERS-NEW SERIES. Oxford: Oxford University Press, 2022, vol. 74, No 2, p. 412-430. ISSN 0030-7653. Available from: https://dx.doi.org/10.1093/oep/gpab027.

@article{1784977,
   author = {Čapek, Jan and Crespo Cuaresma, Jesús and Holler, Johannes and Schuster, Philip},
   article_location = {Oxford},
   article_number = {2},
   doi = {http://dx.doi.org/10.1093/oep/gpab027},
   keywords = {fiscal multiplier;small open economy;SVAR;FAVAR;Austria},
   language = {eng},
   issn = {0030-7653},
   journal = {OXFORD ECONOMIC PAPERS-NEW SERIES},
   title = {Fiscal multipliers in a small open economy: the case of Austria},
   url = {https://doi.org/10.1093/oep/gpab027},
   volume = {74},
   year = {2022}
}

TY  - JOUR
ID  - 1784977
AU  - Čapek, Jan - Crespo Cuaresma, Jesús - Holler, Johannes - Schuster, Philip
PY  - 2022
TI  - Fiscal multipliers in a small open economy: the case of Austria
JF  - OXFORD ECONOMIC PAPERS-NEW SERIES
VL  - 74
IS  - 2
SP  - 412-430
EP  - 412-430
PB  - Oxford University Press
SN  - 00307653
KW  - fiscal multiplier;small open economy;SVAR;FAVAR;Austria
UR  - https://doi.org/10.1093/oep/gpab027
N2  - We estimate fiscal multipliers for Austria in a framework of model uncertainty emanating from the choice of a particular econometric model. We present a comprehensive framework that allows to assess the effects of different multiplier definitions and choices related to the data, the model employed, and further technical choices associated with the specification of the model exert on fiscal multiplier estimates. The mean present-value government spending multiplier over all models entertained, based on around 3,000 estimates, is 0.68. Estimates of the peak spending multiplier for Austria tend to be larger than present-value spending multipliers, with a mean value of 0.85. The magnitude of the present-value tax multiplier is relatively high, with an average value across specifications of −1.12 and the mean peak tax multiplier is −0.54 for all specifications used.
ER  -

ČAPEK, Jan, Jesús CRESPO CUARESMA, Johannes HOLLER and Philip SCHUSTER. Fiscal multipliers in a small open economy: the case of Austria. \textit{OXFORD ECONOMIC PAPERS-NEW SERIES}. Oxford: Oxford University Press, 2022, vol.~74, No~2, p.~412-430. ISSN~0030-7653. Available from: https://dx.doi.org/10.1093/oep/gpab027.

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