Cargando…
This time truly is different: The cyclical behaviour of fiscal policy during the Covid-19 crisis
Fiscal policy was more countercyclical during the Covid-19 crisis than in previous (crisis) episodes. This paper presents empirical evidence in favour of a “this time truly is different” moment based on analysing the cyclical behaviour of fiscal policy for 28 advanced economies over 1995–2021. Discr...
Autor principal: | |
---|---|
Formato: | Online Artículo Texto |
Lenguaje: | English |
Publicado: |
The Author. Published by Elsevier Inc.
2023
|
Materias: | |
Acceso en línea: | https://www.ncbi.nlm.nih.gov/pmc/articles/PMC10028344/ https://www.ncbi.nlm.nih.gov/pubmed/36987431 http://dx.doi.org/10.1016/j.jmacro.2023.103522 |
_version_ | 1784909930350772224 |
---|---|
author | Heimberger, Philipp |
author_facet | Heimberger, Philipp |
author_sort | Heimberger, Philipp |
collection | PubMed |
description | Fiscal policy was more countercyclical during the Covid-19 crisis than in previous (crisis) episodes. This paper presents empirical evidence in favour of a “this time truly is different” moment based on analysing the cyclical behaviour of fiscal policy for 28 advanced economies over 1995–2021. Discretionary fiscal policy during the Covid-19 crisis (2020–2021) did more to counteract the downturn – especially in the Eurozone –, as we do not find comparable evidence for countercyclicality during the financial crisis or Euro crisis. Automatic fiscal stabilisers, the non-discretionary domain of fiscal policy, significantly contributed to countercyclical stabilisation during the pandemic. |
format | Online Article Text |
id | pubmed-10028344 |
institution | National Center for Biotechnology Information |
language | English |
publishDate | 2023 |
publisher | The Author. Published by Elsevier Inc. |
record_format | MEDLINE/PubMed |
spelling | pubmed-100283442023-03-21 This time truly is different: The cyclical behaviour of fiscal policy during the Covid-19 crisis Heimberger, Philipp J Macroecon Article Fiscal policy was more countercyclical during the Covid-19 crisis than in previous (crisis) episodes. This paper presents empirical evidence in favour of a “this time truly is different” moment based on analysing the cyclical behaviour of fiscal policy for 28 advanced economies over 1995–2021. Discretionary fiscal policy during the Covid-19 crisis (2020–2021) did more to counteract the downturn – especially in the Eurozone –, as we do not find comparable evidence for countercyclicality during the financial crisis or Euro crisis. Automatic fiscal stabilisers, the non-discretionary domain of fiscal policy, significantly contributed to countercyclical stabilisation during the pandemic. The Author. Published by Elsevier Inc. 2023-06 2023-03-21 /pmc/articles/PMC10028344/ /pubmed/36987431 http://dx.doi.org/10.1016/j.jmacro.2023.103522 Text en © 2023 The Author. Published by Elsevier Inc. Since January 2020 Elsevier has created a COVID-19 resource centre with free information in English and Mandarin on the novel coronavirus COVID-19. The COVID-19 resource centre is hosted on Elsevier Connect, the company's public news and information website. Elsevier hereby grants permission to make all its COVID-19-related research that is available on the COVID-19 resource centre - including this research content - immediately available in PubMed Central and other publicly funded repositories, such as the WHO COVID database with rights for unrestricted research re-use and analyses in any form or by any means with acknowledgement of the original source. These permissions are granted for free by Elsevier for as long as the COVID-19 resource centre remains active. |
spellingShingle | Article Heimberger, Philipp This time truly is different: The cyclical behaviour of fiscal policy during the Covid-19 crisis |
title | This time truly is different: The cyclical behaviour of fiscal policy during the Covid-19 crisis |
title_full | This time truly is different: The cyclical behaviour of fiscal policy during the Covid-19 crisis |
title_fullStr | This time truly is different: The cyclical behaviour of fiscal policy during the Covid-19 crisis |
title_full_unstemmed | This time truly is different: The cyclical behaviour of fiscal policy during the Covid-19 crisis |
title_short | This time truly is different: The cyclical behaviour of fiscal policy during the Covid-19 crisis |
title_sort | this time truly is different: the cyclical behaviour of fiscal policy during the covid-19 crisis |
topic | Article |
url | https://www.ncbi.nlm.nih.gov/pmc/articles/PMC10028344/ https://www.ncbi.nlm.nih.gov/pubmed/36987431 http://dx.doi.org/10.1016/j.jmacro.2023.103522 |
work_keys_str_mv | AT heimbergerphilipp thistimetrulyisdifferentthecyclicalbehaviouroffiscalpolicyduringthecovid19crisis |