Template-Type: ReDIF-Paper 1.0 
Title: The Aggregate and Distributional Effects of Fiscal Stimuli
Author-Name: Paweł Kopiec 
Abstract: This paper compares the aggregate and distributional effects of three fiscal policy instruments: government expenditures, unemployment benefits andtransfers. To this end, the Diamond-Mortensen-Pissarides model of frictionallabor market is embedded into an otherwise standard Heterogeneous AgentNew Keynesian framework. The model calibrated to match the moments characterizingthe US economy successfully replicates the empirical distributionsof households across: disposable income, consumption expenditures and networth. The solution method developed by Reiter (2009) is applied to quantifythe aggregate and distributional responses to changes in the analyzedfiscal measures. Moreover, the stabilizing role of government expenditures,unemployment benefits and transfers is assessed.
Number: 2022-070
Length: 38 pages 
Creation-Date: 2022-01
Keywords: heterogeneous agents, frictional markets, fiscal stimulus
Classification-JEL: D30, E62, H23, H30, H31
File-URL: https://hdl.handle.net/20.500.12182/1127
File-Format: Application/pdf
DOI: 10.33119/kaewps2022070
Handle: RePEc:sgh:kaewps:2022070