Publication:
Housework and fiscal expansions

Thumbnail Image
Identifiers
URI: https://hdl.handle.net/10016/34780
ISSN: 0304-3932
DOI: https://doi.org/10.1016/j.jmoneco.2016.04.003
UXXI: AR/0000029316
Files
housework_JME_2016_ps.pdf (823.83 KB)
housework_appendix_JME_2016_ps.pdf (365.19 KB)
Publication date
2016-05-01
Defense date
Authors
Advisors
Tutors
Journal Title
Journal ISSN
Volume Title
Publisher
Elsevier
Impact
Google Scholar
Export
Research Projects
Organizational Units
Journal Issue
Abstract
In an otherwise-standard business cycle model with housework, calibrated consistently with data on time use, we discipline complementarity between consumption and hours worked and relate its strength to the size of fiscal multipliers. Evidence on the substitutability between home and market goods confirms that complementarity is an empirically relevant driver of fiscal multipliers. However, in a housework model substantial complementarity can be generated without imposing a low wealth effect, which contradicts the microeconomic evidence. Also, explicitly modeling housework matters for assessing the welfare effects of government spending, which are understated by theories that neglect substitutability between home-produced and market goods.
Description
Keywords
Government expenditure shocks, Home production
Bibliographic citation
Gnocchi, S., Hauser, D., & Pappa, E. (2016). Housework and fiscal expansions. Journal of Monetary Economics, 79, pp. 94-108.
Collections
DE - Artículos de Revistas