Preannounced tax cuts and their potential influence on the 2001 recession
Abstract: The authors present a model in which anticipated future tax cuts, like those promised during the 2000 U.S. presidential campaign, generate a contraction in economic activity with some of the atypical features observed during the 2001 recession (such as its relatively strong consumption and home investment).
File(s): File format is application/pdf http://www.chicagofed.org/digital_assets/publications/economic_perspectives/2009/ep_3qtr2009_part3_butters_veracierto.pdf
Provider: Federal Reserve Bank of Chicago
Part of Series: Economic Perspectives
Publication Date: 2009
Issue: Q III