The Role of Institutional Quality on the Effects of Fiscal Stimulus

Serie

  • IDB Publications (Working Papers)

Resumen

  • This paper provides evidence on the effect of fiscal stimulus on economic activity for countries with different degrees of institutional quality. For a panel of 113 countries during the period 1988-2017, we find evidence that an increment of 1% in government consumption yields a sizable, persistent and stable increase in economic activity of 0.9% in countries with higher institutional quality.

fecha de publicación

  • 2020-04

Líneas de investigación

  • Economic Activity
  • Fiscal Policy
  • Institutional Quality

Issue

  • 10270