Does Crowd Out Really Occur? Initial Empirical Evidence: One Time Period

John Heim

Chapter Chapter 13 in Why Fiscal Stimulus Programs Fail, Volume 1, 2021, pp 249-254 from Springer

Abstract: Abstract This chapter tests to determine if the crowd out problem actually occurs by adding the deficit variable to standard structural consumption and investment models, and then retesting them. Results are presented for one sample period, 1960–2010. Effects on R2 are evaluated, as are effects on regression coefficients and significance levels for the deficit variables.

Keywords: Consumption; Investment; Government deficits; Crowd out (search for similar items in EconPapers)
Date: 2021
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DOI: 10.1007/978-3-030-65675-1_13

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