On the role of government in a stochasti
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Stephen J. Turnovsky
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Article
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1999
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Elsevier Science
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English
β 223 KB
The relationship between the size of government, economic growth, and volatility in a small open economy is analyzed. First, we characterize the stochastic equilibrium for a centrally planned economy, contrasting it with a closed economy. The role of government consumption expenditure both as a stab