巴罗宏观经济学：现代观点第14章精编.pptVIP

Macroeconomics Chapter 14 * Economic Effects of a Budget Deficit Lump-Sum Taxes the cut in year 1’s real taxes, T1, and the increases in future real taxes, Tt , all involve lump-sum taxes. no substitution effects on consumption and labor supply. We have found in our equilibrium business-cycle model that a deficit-financed tax cut does not stimulate the economy. In particular, real GDP, Y, gross investment, I, and the real interest rate, r , do not change Macroeconomics Chapter 14 * Economic Effects of a Budget Deficit Labor Income Taxes The fall in T1 is accompanied by a decline in (τw)1.