GalleryUnintended consequence of fiscal stimuli: tightening households’ credit constraints
They may reinforce precautionary attitudes from the middle class and depress both credit and consumption, write Valerio Ercolani and António Antunes.
Since Keynes, the benefits associated to countercyclical fiscal policies have been recognised by the greater part of the economics community. Indeed, the global financial crisis and, especially, the current COVID-19 crisis saw massive increases in public debt in order […]
