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The notable rebound of U.S. manufacturing activity following the Great Recession has raised the question of whether the … labor costs have had a positive impact on U.S. manufacturing production. While we find it unlikely for manufacturing to … become a main engine of growth in the United States, we find that U.S. manufacturing exports could provide nonnegligible …
Persistent link: https://www.econbiz.de/10010790239
This paper analyzes the scope for systematic rules-based fiscal activism in open economies. Relative to a balanced budget rule, automatic stabilizers significantly improve welfare. But they minimize fiscal instrument volatility rather than business cycle volatility. A more aggressively...
Persistent link: https://www.econbiz.de/10004999963