TY - BOOK ID - 84538726 TI - The Significance of Federal Taxes as Automatic Stabilizers PY - 2002 SN - 1462310494 1451988389 1282107860 9786613801210 1451905483 PB - Washington, D.C. : International Monetary Fund, DB - UniCat KW - Budgeting KW - Investments: General KW - Macroeconomics KW - Fiscal Policy KW - Business Fluctuations KW - Cycles KW - Macroeconomics: Consumption KW - Saving KW - Wealth KW - National Budget KW - Budget Systems KW - Comparative or Joint Analysis of Fiscal and Monetary Policy KW - Stabilization KW - Treasury Policy KW - Personal Income, Wealth, and Their Distributions KW - Investment KW - Capital KW - Intangible Capital KW - Capacity KW - Budgeting & financial management KW - Private consumption KW - General government spending KW - Automatic stabilizers KW - Disposable income KW - Private investment KW - National accounts KW - Public financial management (PFM) KW - Fiscal policy KW - Consumption KW - Economics KW - Budget KW - National income KW - Saving and investment KW - France UR - https://www.unicat.be/uniCat?func=search&query=sysid:84538726 AB - In this paper, a simple methodology to assess the effectiveness of automatic stabilizers is proposed and empirically tested using French data for the period 1970-2000. The paper concludes that fiscal stabilizers have dampened output variability by approximately 35 45 percent depending on the measure of potential output used. In addition, the results indicate that fiscal stabilizers mainly operated through the reduction of private investment fluctuations from 1970 to 1985, and through the reduction of private consumption variability thereafter. Due to the counterfactual nature of the analysis performed, the simplicity of the theoretical model, and simultaneity issues that might introduce biases, the results can at most be interpreted as approximations of the phenomenon that is analyzed. ER -