Journal Article
The Fiscal Stance of U.S. States
Bi, Huixin; Bae, Jaeheung (2018-11-28)
We study the fiscal stance of U.S. states through the lens of state reserve funds. We find that the overall rainy day and unemployment insurance funds have largely recovered since the start of the Great Recession but at an uneven pace across states. More importantly, we find that states are better prepared to meet their own budgetary shortfalls in the event of a downturn than the shortfalls of households.
Macro Bulletin , Issue November 28, 2018 , Pages 1-3