Post-crisis Expansionary Fiscal Contraction
The result's identifiers
Result code in IS VaVaI
<a href="https://www.isvavai.cz/riv?ss=detail&h=RIV%2F61989100%3A27510%2F19%3A10244183" target="_blank" >RIV/61989100:27510/19:10244183 - isvavai.cz</a>
Result on the web
<a href="http://dokbat.utb.cz/wp-content/uploads/2020/01/DOKBAT_2019_Conference_Proceedings.pdf" target="_blank" >http://dokbat.utb.cz/wp-content/uploads/2020/01/DOKBAT_2019_Conference_Proceedings.pdf</a>
DOI - Digital Object Identifier
<a href="http://dx.doi.org/10.7441/dokbat.2019.084" target="_blank" >10.7441/dokbat.2019.084</a>
Alternative languages
Result language
angličtina
Original language name
Post-crisis Expansionary Fiscal Contraction
Original language description
Aim of this paper is to empirically verify theory of expansionary fiscal contractions. Basis of this theory is that fiscal consolidation can have non-Keynesian effects, i.e. budget constraints will not lead to drop in private consumption and investment, on the contrary, it will lead to rise of this economic index. This theory can be examined by several approaches. In this study, it will be done by using econometric methods, namely panel regression, using fixed effects ordinary least squares. As title suggests, this analysis is focused on years following the financial and economic crisis in years 2008 and 2009 respectively. Some countries used this approach in post-crisis years to stimulate consumption, investment and economic growth. Study examines 28 countries of European Union between years 2009-2018. Results show, that both, private consumption and investment react more to economic development, than to administrative changes, made by governments to influence economic agents' behaviour. Households and firms react very little or not at all to these impulses. If government still makes this effort to change behaviour, they should focus on changing taxes in spite of other fiscal policy instruments, such as transfer payments. Furthermore, it was not concluded, that households and firms follow this non-Keynesian effect. Periods with fiscal contractions didn't have unexpected results by standard Keynesian theory.
Czech name
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Czech description
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Classification
Type
D - Article in proceedings
CEP classification
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OECD FORD branch
50202 - Applied Economics, Econometrics
Result continuities
Project
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Continuities
S - Specificky vyzkum na vysokych skolach
Others
Publication year
2019
Confidentiality
S - Úplné a pravdivé údaje o projektu nepodléhají ochraně podle zvláštních právních předpisů
Data specific for result type
Article name in the collection
DOKBAT : 15th Annual International Bata Conference for Ph.D. Students and Young Researchers : conference proceedings
ISBN
978-80-7454-893-2
ISSN
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e-ISSN
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Number of pages
6
Pages from-to
879-884
Publisher name
Univerzita Tomáše Bati ve Zlíně
Place of publication
Zlín
Event location
Zlín
Event date
Nov 6, 2019
Type of event by nationality
WRD - Celosvětová akce
UT code for WoS article
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