Threshold Effects in the U.S. Budget Deficit. ECONOMIC INQUIRY

Andrea Cipollini; Bassam Fattouh; Andrea Cipollini; Philip Arestis

Threshold Effects in the U.S. Budget Deficit. ECONOMIC INQUIRY

Andrea Cipollini, Bassam Fattouh, Andrea Cipollini, Philip Arestis

Scienze Economiche, Aziendali e Statistiche

Risultato della ricerca: Article › peer review

40 Citazioni (Scopus)

Abstract

We contribute to the debate on whether the U.S. large federal budget deficits are sustainable in the long run. We model the U.S. government deficit per capita as a threshold autoregressive process. We find evidence that the U.S. budget deficit is sustainable in the long run and that economic policy makers will only intervene to reduce per capita deficit when it reaches a certain threshold.

Lingua originale	English
pagine (da-a)	214-222
Numero di pagine	9
Rivista	Economic Inquiry
Volume	42
Stato di pubblicazione	Published - 2004

All Science Journal Classification (ASJC) codes

???subjectarea.asjc.1400.1400???
Economics and Econometrics

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abstract = "We contribute to the debate on whether the U.S. large federal budget deficits are sustainable in the long run. We model the U.S. government deficit per capita as a threshold autoregressive process. We find evidence that the U.S. budget deficit is sustainable in the long run and that economic policy makers will only intervene to reduce per capita deficit when it reaches a certain threshold.",

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AB - We contribute to the debate on whether the U.S. large federal budget deficits are sustainable in the long run. We model the U.S. government deficit per capita as a threshold autoregressive process. We find evidence that the U.S. budget deficit is sustainable in the long run and that economic policy makers will only intervene to reduce per capita deficit when it reaches a certain threshold.

UR - http://hdl.handle.net/10447/101787

M3 - Article

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EP - 222

JO - Economic Inquiry

JF - Economic Inquiry

SN - 0095-2583

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