Cestau, Dario; Green, Richard; Schürhoff, Norman - C.E.P.R. Discussion Papers - 2012
Build America Bonds (BABs) were issued by states and municipalities for twenty months as an alternative to tax-exempt bonds. The program was part of the 2009 fiscal stimulus package. The bonds are taxable to the holder, but the federal Treasury rebates 35% of the coupon payment to the issuer....