Author Description

This Paper Examines How Endogenizing Technological Progress In A Multicountry Macroeconometric Model Affects The Analysis Of Fiscal Policies. It Uses An Expanded Version Of The Imf’s Multicountry Model, Multimod, In Which Total Factor Productivity (tfp) Is Endogenized As A Function Of Domestic Research And Development (r&d) Expenditures, R&d Expenditures Of Trading Partners, And Trade. Compared With The Standard Version Of The Model With Exogenous Tfp, Fiscal Policies Have Much Larger And Long-lived Effects On The Domestic Economy And On Other Countries. Douglas Laxton, Tamim Bayoumi, David Coe. Bibliographic Level Mode Of Issuance: Monograph English