Relevance of the fiscal-policy setup in the analysis of macroprudential and ex-post financial crisis interventions

Número: 
945
Publicado: 
Clasificación JEL: 
E62, F34, F41, H23, D62
Palabras clave: 
Financial Crisis, Fiscal policy, Credit Constraint, Macroprudential Tax

In a previous paper (Parra-Polania and Vargas, 2015) we modify the ?nancial constraint of a very standard model to incorporate the fact that international lenders take into account that taxes (or subsidies) a¤ect borrowers?income available for debt repaym