Montaner, Ramón José Torregrosa - Instituto Valenciano de Investigaciones Económicas (IVIE) - 1997
Dixon (1987) and Mankiw (1988) using a non-competitive general equilibrium model with Cobb-Douglas preferences, constant marginal costs and lump-sum taxes, found that the Balanced Budget Multiplier is monotonic increasing with market power, reaching the textbook unitary value in the limiting...