Automatic Stabilizers Reconsidered

Noel D Uri, J. Mixon and Ben L Kyer

Public Finance = Finances publiques, 1989, vol. 44, issue 3, 476-91

Abstract: This paper examines the question of the stability of automatic stabilizers in the United States. Based on a statistical text suggested by Brown, Durbin, and Evans (1975), the analysis concludes that the magnitude of automatic stabilization of economic activity afforded by personal tax receipts has remained virtually invariant over the period 1939-86. The automatic stabilization effectiveness of transfer payments, however, has increased since 1964. This is attributed to the implementation of various Great Society Programs beginning in 1964.

Date: 1989
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Persistent link: https://EconPapers.repec.org/RePEc:pfi:pubfin:v:44:y:1989:i:3:p:476-91

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