A political theory of government debt and deficits in a neo-Ricardian framework

Individuals differ in abilities. Some are bequest constrained even in a neo-Ricardian world They vote taxes to issue bonds to be paid by taxes on future generations, thereby increasing current consumption, crowding-out capital, reducing wage rates, and increasing the interest rate. Therefore even un...

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Bibliographic Details
Main Authors: Cukierman, Alex, Meltzer, Allan H
Format: Book
Published: Nashville American Economic Association September 1989
Series:American Economic Review n. 4
Subjects: