Has Germany’s temporary VAT rates cut as part of the COVID-19 fiscal stimulus boosted growth?

On 3 June 2020, the German government announced a EUR 130 billion fiscal stimulus package to stimulate market demand and jumpstart the economy in the wake of the COVID-19 pandemic lockdown in the spring of 2020. The most prominent measure of this package is an unconventional fiscal policy in the for...

Descripción completa

Detalles Bibliográficos
Autores principales: Funke, Michael, Terasa, Raphael
Formato: Online Artículo Texto
Lenguaje:English
Publicado: The Society for Policy Modeling. Published by Elsevier Inc. 2022
Materias:
Article
Acceso en línea:https://www.ncbi.nlm.nih.gov/pmc/articles/PMC8964451/
https://www.ncbi.nlm.nih.gov/pubmed/35370327
http://dx.doi.org/10.1016/j.jpolmod.2022.03.008
_version_ 1784678221994786816
author Funke, Michael
Terasa, Raphael
author_facet Funke, Michael
Terasa, Raphael
author_sort Funke, Michael
collection PubMed
description On 3 June 2020, the German government announced a EUR 130 billion fiscal stimulus package to stimulate market demand and jumpstart the economy in the wake of the COVID-19 pandemic lockdown in the spring of 2020. The most prominent measure of this package is an unconventional fiscal policy in the form of a temporary VAT rates cut for six months, from 1 July to 31 December 2020. Employing a dynamic stochastic general equilibrium (DSGE) framework, we study the efficiency of the VAT tax rates cut for ameliorating the consequences of the pandemic recession. The simulation of the calibrated DSGE model yields a tax policy-induced real GDP increase of about 0.3% points for 2020.
format Online
Article
Text
id pubmed-8964451
institution National Center for Biotechnology Information
language English
publishDate 2022
publisher The Society for Policy Modeling. Published by Elsevier Inc.
record_format MEDLINE/PubMed
spelling pubmed-89644512022-03-30 Has Germany’s temporary VAT rates cut as part of the COVID-19 fiscal stimulus boosted growth? Funke, Michael Terasa, Raphael J Policy Model Article On 3 June 2020, the German government announced a EUR 130 billion fiscal stimulus package to stimulate market demand and jumpstart the economy in the wake of the COVID-19 pandemic lockdown in the spring of 2020. The most prominent measure of this package is an unconventional fiscal policy in the form of a temporary VAT rates cut for six months, from 1 July to 31 December 2020. Employing a dynamic stochastic general equilibrium (DSGE) framework, we study the efficiency of the VAT tax rates cut for ameliorating the consequences of the pandemic recession. The simulation of the calibrated DSGE model yields a tax policy-induced real GDP increase of about 0.3% points for 2020. The Society for Policy Modeling. Published by Elsevier Inc. 2022 2022-03-30 /pmc/articles/PMC8964451/ /pubmed/35370327 http://dx.doi.org/10.1016/j.jpolmod.2022.03.008 Text en © 2022 The Society for Policy Modeling. Published by Elsevier Inc. All rights reserved. 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
Funke, Michael
Terasa, Raphael
Has Germany’s temporary VAT rates cut as part of the COVID-19 fiscal stimulus boosted growth?
title Has Germany’s temporary VAT rates cut as part of the COVID-19 fiscal stimulus boosted growth?
title_full Has Germany’s temporary VAT rates cut as part of the COVID-19 fiscal stimulus boosted growth?
title_fullStr Has Germany’s temporary VAT rates cut as part of the COVID-19 fiscal stimulus boosted growth?
title_full_unstemmed Has Germany’s temporary VAT rates cut as part of the COVID-19 fiscal stimulus boosted growth?
title_short Has Germany’s temporary VAT rates cut as part of the COVID-19 fiscal stimulus boosted growth?
title_sort has germany’s temporary vat rates cut as part of the covid-19 fiscal stimulus boosted growth?
topic Article
url https://www.ncbi.nlm.nih.gov/pmc/articles/PMC8964451/
https://www.ncbi.nlm.nih.gov/pubmed/35370327
http://dx.doi.org/10.1016/j.jpolmod.2022.03.008
work_keys_str_mv AT funkemichael hasgermanystemporaryvatratescutaspartofthecovid19fiscalstimulusboostedgrowth
AT terasaraphael hasgermanystemporaryvatratescutaspartofthecovid19fiscalstimulusboostedgrowth

Ejemplares similares