Galí, Jordi, 1961-Universitat Pompeu Fabra. Departament d'Economia i Empresa2017-07-262017-07-262004-10-01CESifo Economic Studies, Vol. 51, 587-599, 4/2005http://hdl.handle.net/10230/577The present paper describes recent research on two central themes of Keynes General Theory: (i) the social waste associated with recessions, and (ii) the effectiveness of fiscal policy as a stabilization tool. The paper also discusses some evidence on the extent to which fiscal policy has been used as a stabilizing tool in industrial economies over the past two decades.application/pdfengL'accés als continguts d'aquest document queda condicionat a l'acceptació de les condicions d'ús establertes per la següent llicència Creative Commonsinfo:eu-repo/semantics/workingPaperbusiness cyclesinefficient allocationsgovernment spending multipliernon-ricardian householdscountercyclical policiesMacroeconomics and International Economicsinfo:eu-repo/semantics/openAccess