Fiscal Consolidation and Public Wages

Fiscal Consolidation and Public Wages
A New Keynesian model with government production, public compensation, and unemployment is fit to U.S. data to study the macroeconomic and fiscal effects of public wage reductions. We find that accounting for the type of government spending is crucial for its macroeconomic implications. Although reductions in public wages and government... READ MORE...

Publication date: June 2019
ISBN 9781498316835
$18.00

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