NATIONAL BUREAU OF ECONOMIC RESEARCH
NATIONAL BUREAU OF ECONOMIC RESEARCH

Debt and the Effects of Fiscal Policy

Carlo Favero, Francesco Giavazzi

NBER Working Paper No. 12822
Issued in January 2007

---- Acknowledgements -----

We thank Olivier Blanchard, Eric Leeper and Roberto Perotti for useful comments. Francesco Giavazzi thanks the Federal Reserve Bank of Boston for its hospitality while this paper was completed. The views expressed herein are those of the author(s) and do not necessarily reflect the views of the National Bureau of Economic Research.

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