Measuring the Impact of Fiscal Policy in the Face of Anticipation: A Structural VAR Approach*

By Karel Mertens, Morten O. Ravn. 2010

192 citations recorded by the source corpus.

View Paper: https://www.semanticscholar.org/paper/0d113b8e033d749eaf194022ced88b3144a2c846

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In Economics and Econometrics

Citations in the corpus

Chronicle of a war foretold : the macroeconomic effects of anticipated defense spending shocks (2014, methodology): “Mertens and Ravn (2010), for example, use a DSGE model to derive a fiscal SVAR estimator that is applicable when shocks are permanent and anticipated and use it with US data.”
Sufficient information in structural VARs (2014, background): “Dynamic rotations as in Lippi and Reichlin (1994), Mertens and Ravn (2010), Forni, Gambetti, Lippi and Sala (2013a, 2013b) can in principle solve the problem.”
Bayesian inference on structural impulse response functions (2019, background): “(5) If |Θ 1 | ≤ 1, the IRF Θ = (1, Θ 1 ) is invertible: The shock has the SVAR representation 13 Lippi & Reichlin (1994) and Klaeffing (2003) characterize the range of noninvertible IRFs consistent with a given estimated SVAR, while Mertens & Ravn (2010) and Forni, Gambetti, Lippi & Sala (2013) sele”
How Do Fiscal and Technology Shocks Affect Real Exchange Rates? New Evidence for the United States (2008, methodology): “We detect See Mertens and Ravn (2009) for a general treatment of how to account for anticipation effects while employing the Blanchard-Perotti identification scheme.”
Unemployment Fiscal Multipliers (2010, unknown): “so that Hn;t = t (wt !t) + ( pt+1)Et fHn;t+1g ; where !t Un;t t = b 1= t (18)”
Targeted transfers and the fiscal response to the great recession (2012, unknown): “…Ilzetzki et al. (2010), Mertens and Ravn (2010a) 2 In the recent past, see Perotti (2008), Mountford and Uhlig (2009), Corsetti et al. (2009), Mertens and Ravn (2010b), Barro and Redlick (2009), Ramey (2009), Nekarda and Ramey (2010), Krenn and Gordon (2010), Monacelli et al. (2010),…”
Government spending shocks in open economy VARs (2014, background): “Mertens and Ravn, 2010, use Blaschke factors, i.e. dynamic rotations of the reduced form VAR innovations.”
Fiscal Policy, the Real Exchange Rate and Traded Goods (2010, unknown): “Mertens and Ravn (2009) and Fisher and Peters (in this issue), however, provide support to the view that this is not a serious problem in practice.”
Successful Austerity in the United States, Europe and Japan (2012, unknown): “complicated by the tight relation of tax revenues with economic activity; BP estimated a relative small impact of tax shocks on output, while Perotti (2004) found that the tax multiplier declined significantly after 1980.”
Empirical evidence on the aggregate effects of anticipated and unanticipated US tax policy shocks (2012, background): “Mertens and Ravn (2010) propose an alternative structural VAR estimator which applies Blaschke matrices to correct for anticipation effects. of 1977 and the Economic Recovery Tax Act of 1981 explain a significant proportion of the 1981-82 recession and the mid-1980’s boom in the U.S.”
News Driven Business Cycles: Insights and Challenges (2014, unknown): “Mertens and Ravn [2012] study the impact of tax liability changes using the US tax narrative provided by Romer and Romer [2009]. For each piece of tax legislation they define an announcement date and an implementation date.”
Fiscal Foresight and Information Flows (2012, background): “8Some studies allow the news shocks, εt−j , to be drawn from distinct distributions for each j, and set φj = 1 for each relevant j [Schmitt-Grohé and Uribe (2008), Fujiwara, Hirose, and Shintani (2011), and Mertens and Ravn (2011)].”