EconPapers    
Economics at your fingertips  
 

Precautionary Saving and the Timing of Taxes

Miles Kimball and N. Gregory Mankiw

Scholarly Articles from Harvard University Department of Economics

Abstract: This paper analyzes the effects of government debt and income taxes on consumption and saving in a world of infinitely lived house- holds having uncertain and heterogeneous incomes. The special structure of the model allows exact aggregation across households despite incomplete markets. The effects of government debt are shown to be substantial, roughly comparable to those resulting from finite horizons, and crucially dependent on the length of time until the debt is repaid. Also, anticipated changes in taxes are shown to cause anticipated changes in consumption. Finally, an index of fiscal stance is derived.

Date: 1989
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (79)

Published in Journal of Political Economy -Chicago-

Downloads: (external link)
http://dash.harvard.edu/bitstream/handle/1/3443105 ... cautionarySaving.pdf (application/pdf)

Related works:
Journal Article: Precautionary Saving and the Timing of Taxes (1989) Downloads
Working Paper: Precautionary Saving and the Timing of Taxes (1988) Downloads
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:hrv:faseco:3443105

Access Statistics for this paper

More papers in Scholarly Articles from Harvard University Department of Economics Contact information at EDIRC.
Bibliographic data for series maintained by Office for Scholarly Communication ().

 
Page updated 2025-03-22
Handle: RePEc:hrv:faseco:3443105