English, Article, Journal or magazine article edition: Optimal fiscal policy in a multisector model with minimum expenditure requirements. Steven P. Cassou; Arantza Gorostiaga

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Bookmark: http://trove.nla.gov.au/version/183427
Physical Description
  • preprint
Language
  • English

Edition details

Title
  • Optimal fiscal policy in a multisector model with minimum expenditure requirements.
Author
  • Steven P. Cassou
  • Arantza Gorostiaga
Physical Description
  • preprint
Notes
  • This paper investigates optimal fiscal policy in a static multisector model. A Ramsey type planner chooses tax rates on each good type as well as spending levels on each good type subject to an exogenous total expenditure constraint and requirements that some minimum amount of spending be undertaken in each sector. It is shown that optimal policy does not equally spend in each sector but instead results in one of the minimum expenditure constraints binding.
  • Ramsey planner; Multisector model; Minimum expenditure constraint.
  • RePEc:ehu:dfaeii:200701
Language
  • English
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