Ooooh, dear

This does bugger up some people\’s theories:

…the fiscal multiplier is relatively large in economies operating under predetermined exchange rate but zero in economies operating under flexible exchange rates;….

2 thoughts on “Ooooh, dear”

  1. As for QE, Alberto F. Alesina, Silvia Ardagna have said in a paper that, on their estimates, the multiplier is less than 1.

    So, is QE worth the candle?

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