Academic literature on the topic 'Fiscal transmission'

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Journal articles on the topic "Fiscal transmission"

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Svensson, Lars E. O. "International Fiscal Policy Transmission." Scandinavian Journal of Economics 89, no. 3 (1987): 305. http://dx.doi.org/10.2307/3440201.

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Gmeiner, Robert, and Sven Larson. "The Fiscal Transmission Mechanism of Inflation." American Business Review 26, no. 1 (2023): 180–202. http://dx.doi.org/10.37625/abr.26.1.180-202.

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The link between money creation and inflation has been theoretically demonstrated, but different inflation responses to Federal Reserve activity after the Great Recession and COVID recession showed the incomplete nature of the theory. We model a “fiscal transmission mechanism” whereby Federal Reserve purchases of Treasury securities lead to inflation as new dollars flow through fiscal deficits into the economy. In our model, other Federal Reserve activity generally lacks inflationary effects. Using a nonstructural vector autoregression approach, we test for the presence of this mechanism and o
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Nandi, Aurodeep. "Fiscal deficit targeting alongside flexible inflation targeting: India’s fiscal policy transmission." Journal of Asian Economics 63 (August 2019): 1–18. http://dx.doi.org/10.1016/j.asieco.2019.06.002.

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Aligishiev, Zamid, and Hamed Ghiaie. "Cyclical Fiscal Multipliers." IMF Working Papers 2025, no. 108 (2025): 1. https://doi.org/10.5089/9798229011242.001.

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This paper investigates dynamic relationships between U.S. government expenditure multipliers and the economy's cyclical position from 1949 to 2018 using a Time-Varying Parameter Vector Autoregression (TVP-VAR) model. We challenge the existing literature, which predominantly relies on predefined economic regimes and assumes a stable relationship between fiscal multipliers and business cycles. Our findings identify two distinct periods: fiscal multipliers were counter-cyclical from 1949 to the late 1980s, followed by a significant decline in their effectiveness during recessions thereafter. The
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Khalid, Mahmood, Wasim Shahid Malik, and Abdul Sattar. "The Fiscal Reaction Function and the Transmission Mechanism for Pakistan." Pakistan Development Review 46, no. 4II (2007): 435–47. http://dx.doi.org/10.30541/v46i4iipp.435-447.

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Modern macroeconomics literature emphasises both the short run and long run objectives of fiscal policy [Romer (2006)]. In the short run it can be used to counter output cyclicality and/or stabilise volatility in macro variables, which is descriptively same as of effects of the short run monetary policy. Further for the long-run, fiscal policy can also affect both the demand and supply side of the economy. But in most traditional analyses it is assumed that fiscal policy would adjust to ensure the intertemporal budget constraint to be satisfied, while monetary policy is free to adjust its inst
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Roşoiu, Iulia. "Uncertainty and the Transmission of Fiscal Policy." Procedia Economics and Finance 32 (2015): 769–76. http://dx.doi.org/10.1016/s2212-5671(15)01460-4.

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Haug, Alfred A., Tomasz Jędrzejowicz, and Anna Sznajderska. "Monetary and fiscal policy transmission in Poland." Economic Modelling 79 (June 2019): 15–27. http://dx.doi.org/10.1016/j.econmod.2018.09.031.

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Fukuda, Shin-ichi. "International transmission of monetary and fiscal policy." Journal of Economic Dynamics and Control 17, no. 4 (1993): 589–620. http://dx.doi.org/10.1016/0165-1889(93)90048-w.

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Bose, Jolayemi Lydia, and Akinlo Anthony Enisan. "FISCAL POLICY TRANSMISSION CHANNELS AND MACROECONOMIC VARIABLES PERFORMANCE IN NIGERIA." European Journal of Economics, Law and Politics 8, no. 2 (2021): 11–28. http://dx.doi.org/10.19044/elp.v8no2a11.

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The paper investigates the impact of fiscal policy channels on selected macroeconomic variables in Nigeria over the period of 1970-2018. The study employed the Bayesian approach of the Dynamic Stochastic General Equilibrium Model, after examining the prior and posterior mean values on the models specified. The paper established that channels of transmission from fiscal policy affected the performance of macroeconomic variables in the country that is, the instability on macroeconomic variables performances in Nigeria are highly influenced by the fiscal policy transmission channels. The study co
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JACKSON, Emerson Abraham. "Economics of Fiscal Dominance and Ramifications for the Discharge of Effective Monetary Policy Transmission." Theoretical and Practical Research in Economic Fields 15, no. 1 (2024): 31. http://dx.doi.org/10.14505/tpref.v15.1(29).03.

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This paper explores the intricate dynamics of fiscal dominance and its profound implications for monetary policy efficacy, contributing to the discourse on the interplay between fiscal and monetary policies. The theoretical foundation critically examines existing literature, integrating empirical evidence to construct a comprehensive understanding. Model blocks strategically elucidate the significance of fiscal variables in shaping monetary transmission mechanisms. The ensuing analysis scrutinises the disruptive potential of fiscal dominance on conventional monetary policy tools. The conclusio
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Dissertations / Theses on the topic "Fiscal transmission"

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Teig, Michael. "Fiscal transparency and economic development : definitions, concept, possible transmission mechanisms, and policy implications /." Bamberg : BERG-Verl, 2009. http://bvbr.bib-bvb.de:8991/F?func=service&doc_library=BVB01&doc_number=017369659&line_number=0001&func_code=DB_RECORDS&service_type=MEDIA.

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Kim, Dong-Hyeon. "Relative effectiveness of monetary and fiscal policies : with emphasis on disaggregated private spendings and policy transmission mechanisms /." free to MU campus, to others for purchase, 1999. http://wwwlib.umi.com/cr/mo/fullcit?p9953871.

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Hamonic, Gaux Anne Gael. "Le régime fiscal des prix de transfert pratiqués entre les sociétés françaises et américaines : le cas de propriétés incorporelles." Paris 2, 1999. http://www.theses.fr/1999PA020102.

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La determination des prix de transfert, ou prix de cession intragroupe, constitue l'un des enjeux majeurs du droit fiscal international et de la lutte contre l'evasion fiscale. Le principe de la conformite du prix de transfert au juste prix est considere comme preservant au mieux la souverainete fiscale des etats. Sa mise en oeuvre se heurte cependant aux limites de sa normalisation. Si celle-ci est en effet traditionnellement realisee par le respect du principe de pleine concurrence, son application aux transferts de droit de propriete incorporelle s'avere souvent inappropriee. De nouvelles t
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Gechert, Sebastian. "On the Measurement, Theory and Estimation of Fiscal Multipliers." Doctoral thesis, Universitätsbibliothek Chemnitz, 2014. http://nbn-resolving.de/urn:nbn:de:bsz:ch1-qucosa-155008.

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The study is intended to identify relevant channels and possibly biasing factors with respect to fiscal multipliers, and thus to contribute to improving the precision of multiplier forecasts. This is done by, first, defining the concept of the multiplier used in the present study, presenting the main theoretical channels of influence as discussed in the literature and the problems of empirical identification. Second, by conducting a meta-regression analysis on the reported multipliers from a unique data set of 1069 multiplier observations and the respective study characteristics in order to de
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GARNIER, ROMAIN. "De la difficulte de transmettre une entreprise en france : inadequation du systeme fiscal et optimisation des operations de transmission." Amiens, 2000. http://www.theses.fr/2000AMIE0052.

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Transmettre une entreprise en france reste une operation fiscalement perilleuse. Pourtant, il apparait necessaire d'assurer la perennite des entreprises en evitant que la fiscalite liee aux mutations, a titre gratuit comme a titre onereux, ne constitue une entrave a leur survie. Face a ces enjeux, le systeme fiscal francais se revele inadequat. Les methodes d'evaluation financiere evoluent et l'element << immateriel >> prend une place preponderante dans la valeur d'une entreprise. Devant ce phenomene, l'administration fiscale continue dans son controle a recourir a des methodes trop patrimonia
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Silva, António Jorge Esteves da. "The monetary transmission mechanism in the Euro Area : has it changed with the EMU?" Master's thesis, Instituto Superior de Economia e Gestão, 2014. http://hdl.handle.net/10400.5/6904.

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Mestrado em Economia Monetária e Financeira<br>We study whether the adoption of the euro and a single monetary policy have brought about a change in the monetary transmission mechanism and in the interactions of monetary policy, fiscal policy and financial stress in the euro area. We find that the stylized facts of monetary transmission remain valid but the response of output and, mainly, the fiscal and financial stress variables to a monetary policy shock seem to be stronger in the post-EMU period. These changes may signal a higher degree of synchronization of the euro area countries’ economi
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Belloy, Augustin. "La forme SAS et le concept fiscal d'animation, instruments privilégiés de la gouvernance et de la transmission des holdings familiales." Paris 11, 2008. http://www.theses.fr/2008PA111025.

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Forlati, Chiara. "Essays on monetary, fiscal and trade policy in open economies." Doctoral thesis, Universitat Pompeu Fabra, 2009. http://hdl.handle.net/10803/7403.

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En esta tesis estudio varias cuestiones de política monetaria y fiscal usando modelos de equilibrio generales completamente micro-fundados. El primer capítulo de esta tesis trata la cuestión de cómo la políticas monetarias y fiscales se deben conducir en una unión monetaria donde hay un solo banco central que fija el tipo de interés común mientras que el gobierno todavía conserva independencia completa en las decisiones de políticas fiscales. En el segundo capítulo se dedica a estudiar si es posible racionalizar en un modelo keynesiano completamente micro-fundado la existencia de una unión
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Панченко, Н. В. "Властивості фіскальної трансмісії в умовах макроенономічної нестабільності". Thesis, Сумський державний університет, 2019. https://essuir.sumdu.edu.ua/handle/123456789/77566.

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В сучасних умовах фіскальний механізм відіграє важливу роль у фінансовій системі країни та характеризується особливими, тільки йому властивими інструментами, важелями, функціями, способами та методами, які здійснюють значний вплив на розвиток як окремих суб’єктів господарювання, так і економіки країни в цілому. Особливістю фіскального механізму є те, що це складне та багатогранне явище, яке поєднує в собі різні специфічні елементи та заходи регулювання, застосування яких може мати як довгостроковий, так і короткостроковий вплив на функціонування економічних суб’єктів.
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Bourrié, Eve. "Le volet fiscal de la loi n°2006-728 du 23 juin 2006 et la réforme des successions et des libéralités." Thesis, Montpellier 1, 2012. http://www.theses.fr/2012MON10042/document.

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La loi du 23 juin 2006, entrée en vigueur le 1er janvier 2007, poursuit trois objectifs principaux, de simplification, de sécurisation du règlement des successions et de protection des héritiers. Elle comprend deux volets le premier sur les successions et le second sur les libéralités. Cette loi est une nécessaire adaptation aux nouvelles évolutions démographiques et sociologiques (allongement de la durée de la vie, augmentation du nombre des familles recomposées et présence d'enfants non communs) et permet d'augmenter la liberté de partage du disposant, notamment dans la transmission des entr
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Books on the topic "Fiscal transmission"

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Bernard, Monassier, and Editions Francis Lefebvre, eds. Transmission d'entreprise: Juridique, fiscal, social, financier. Editions Francis Lefebvre, 1996.

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Schneider, Christoffer. Die internationale Transmission der Fiskalpolitik eines grossen Landes. J. Eul, 1991.

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Perotti, Roberto. In search of the transmission mechanism of fiscal policy. National Bureau of Economic Research, 2007.

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Fund, International Monetary. Commodity markets and the international transmission of fiscal shocks. International Monetary Fund, 1988.

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Perotti, Roberto. In search of the transmission mechanism of fiscal policy. National Bureau of Economic Research, 2007.

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Corsetti, Giancarlo. Multilateral economic cooperation and the international transmission of fiscal policy. National Bureau of Economic Research, 2011.

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Tille, Cédric. The role of consumption substitutability in the international transmission of shocks. Federal Reserve Bank of New York, 1999.

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Baldacci, Emanuele. Growth, governance, and fiscal policy transmission channels in low-income countries. International Monetary Fund, Fiscal Affairs Department, 2003.

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Turnovsky, Stephen J. The international transmission of tax policies in a dynamic world economy. National Bureau of Economic Research, 1992.

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Fund, International Monetary. Transmission of the effects of the fiscal deficit in industrial countries to the fiscal deficit of the developing countries. International Monetary Fund, 1988.

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Book chapters on the topic "Fiscal transmission"

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Gumata, Nombulelo, and Eliphas Ndou. "Do Government Debt Thresholds Impact the Transmission of Tax Shock Effects to GDP Growth?" In Labour Market and Fiscal Policy Adjustments to Shocks. Springer International Publishing, 2017. http://dx.doi.org/10.1007/978-3-319-66520-7_27.

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Gumata, Nombulelo, and Eliphas Ndou. "The 6 Per cent Inflation Threshold and the Transmission of Nominal Wage Shocks to Inflation Expectations." In Labour Market and Fiscal Policy Adjustments to Shocks. Springer International Publishing, 2017. http://dx.doi.org/10.1007/978-3-319-66520-7_26.

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Gumata, Nombulelo, and Eliphas Ndou. "The Labour Market Conditions Channel in the Transmission of Positive Inflation and Inflation Expectation Shocks to the Repo Rate Reaction." In Labour Market and Fiscal Policy Adjustments to Shocks. Springer International Publishing, 2017. http://dx.doi.org/10.1007/978-3-319-66520-7_13.

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Frenkel, Jacob A., and Assaf Razin. "The International Transmission of Fiscal Expenditures and Budget Deficits in the World Economy." In Economic Policy in Theory and Practice. Palgrave Macmillan UK, 1987. http://dx.doi.org/10.1007/978-1-349-18584-9_2.

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"Transmission of Fiscal Disturbances Between Countries and International Migration." In The Macroeconomics of Open Economies Under Labour Mobility, edited by George M. Agiomirgianakis. Routledge, 2019. http://dx.doi.org/10.4324/9780429442513-3.

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Harris, Laurence. "International Financial Markets and National Transmission Mechanisms." In Managing The Global Economy. Oxford University PressOxford, 1995. http://dx.doi.org/10.1093/oso/9780198289692.003.0008.

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Abstract Fifty years ago, as the postwar period began, financial markets were weak and, above all, fragmented. The national financial systems of the large capitalist economies were relatively self-contained, separated by, among other things, foreign exchange controls, government restrictions on financial institutions’ balance sheets, restrictions on competition, administered interest rates, and distinct fiscal and legal systems. The self-contained character of national financial systems (extending to their currency blocs in the case of the Sterling Area, Franc Zone) was the basis for the Keyne
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Erer, Elif, and Deniz Erer. "Stock Market Responses to Monetary and Fiscal Policies." In Research Anthology on Macroeconomics and the Achievement of Global Stability. IGI Global, 2022. http://dx.doi.org/10.4018/978-1-6684-7460-0.ch009.

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This study analyzes the short-run and long-run effects of interaction between fiscal and monetary policies on stock market performance in four emerging Asian economies, which are China, India, Indonesia, and Malaysia, by using ARDL model. The study covers the period of 2003:Q1-2020:Q1. The findings from this study show monetary and fiscal policies play an important role in determining stock market returns. Also, the results theoretically support Richardian neutrality hypothesis for China and Indonesia, Keynesian positive effect hypothesis for India, and classical crowding out effect hypothesis
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Erer, Elif, and Deniz Erer. "Stock Market Responses to Monetary and Fiscal Policies." In Handbook of Research on Current Trends in Asian Economics, Business, and Administration. IGI Global, 2022. http://dx.doi.org/10.4018/978-1-7998-8486-6.ch014.

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This study analyzes the short-run and long-run effects of interaction between fiscal and monetary policies on stock market performance in four emerging Asian economies, which are China, India, Indonesia, and Malaysia, by using ARDL model. The study covers the period of 2003:Q1-2020:Q1. The findings from this study show monetary and fiscal policies play an important role in determining stock market returns. Also, the results theoretically support Richardian neutrality hypothesis for China and Indonesia, Keynesian positive effect hypothesis for India, and classical crowding out effect hypothesis
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Silva, Adrielle Lorrane Moreira da, Vilmar Secundina Dantas, and Ezequiel Nunes Pacheco. "SPED fiscal in the perspective of accounting professionals of the municipality of Água Boa – MT." In DEVELOPMENT AND ITS APPLICATIONS IN SCIENTIFIC KNOWLEDGE. Seven Editora, 2023. http://dx.doi.org/10.56238/devopinterscie-069.

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This research deals with the evaluation of the Fiscal SPED from the perspective of accounting professionals in the Municipality of Água Boa - MT. The general objective is to identify the main challenges and benefits encountered from the implementation of the Fiscal SPED, in the perception of accounting professionals of the offices of the municipality of Água Boa - MT. The theoretical approach deals with topics such as digital bookkeeping and the challenges of its implementation, as well as aspects of the advantages and disadvantages of Fiscal SPED. Regarding methodological aspects, it is chara
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Riet, Ad van. "The ECB in the New Normal." In The New European Central Bank: Taking Stock and Looking Ahead. Oxford University PressOxford, 2022. http://dx.doi.org/10.1093/oso/9780198871231.003.0014.

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Abstract Within the Economic and Monetary Union (EMU) of Europe the responsibility for monetary policy lies with the European Central Bank (ECB). EMU was designed without a fiscal counterpart to the ECB that could assist monetary policy with stabilizing the euro area economy. This chapter reviews how euro area governments could cooperate to establish fiscal framework conditions in support of monetary policy that are more similar to those found in other currency areas. First, they could create a central fiscal capacity to ensure a euro area economic policy stance that is consistent with the ori
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Conference papers on the topic "Fiscal transmission"

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Yu, Jiajun. "A FISCO BCOS-Based Secure Transmission System Design and Implementation for UAV Networks." In 2025 4th International Symposium on Computer Applications and Information Technology (ISCAIT). IEEE, 2025. https://doi.org/10.1109/iscait64916.2025.11010356.

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Kumi, Evis. "The Effectiveness of the Albanian Monetary Policy." In 9th International Scientific Conference ERAZ - Knowledge Based Sustainable Development. Association of Economists and Managers of the Balkans, Belgrade, Serbia, 2023. http://dx.doi.org/10.31410/eraz.2023.97.

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This article aims to assess the efficiency of the Bank of Albania’s monetary policy in attaining its goals of price stability and economic ex­pansion. Price stability is essential for ensuring a favorable business environ­ment, preserving the purchasing power of the currency, and reducing uncer­tainty in the economy. The analysis takes into account the unique character­istics and challenges faced by the Albanian economy. This article offers in­sights into the effectiveness of the monetary policy framework in Albania by assessing the primary instruments and tactics used by the BoA, including in
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Ueta, Shohei, Jun Aihara, Minoru Goto, Yukio Tachibana, and Koji Okamoto. "Development of Security and Safety Fuel for Pu-Burner HTGR: Part 5 — Test and Characterization for ZrC Coating." In 2017 25th International Conference on Nuclear Engineering. American Society of Mechanical Engineers, 2017. http://dx.doi.org/10.1115/icone25-67530.

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To develop the security and safety fuel (3S-TRISO fuel) for Pu-burner high temperature gas-cooled reactor (HTGR), R&amp;D on zirconium carbide (ZrC) directly coated on yttria stabilized zirconia (YSZ) has been started in the Japanese fiscal year 2015. As results of the direct coating test of ZrC on the dummy YSZ particle, ZrC layers with 18–21 microns of thicknesses have been obtained with 0.1 kg of particle loading weight. No deterioration of YSZ exposed by source gases of ZrC bromide process was observed by Scanning Transmission Electron Microscope (STEM) observation.
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Štieber, Lukáš. "Post-Pandemic Sources of Inflation Dynamics in USA and Europe." In EDAMBA 2022: 25th International Scientific Conference for Doctoral Students and Post-Doctoral Scholars. University of Economics in Bratislava, 2023. http://dx.doi.org/10.53465/edamba.2022.9788022550420.462-469.

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In the context of so-called Great Moderation of the last decades characterized by relatively low and stable inflation rates are the post-pandemic inflation rates of late 2021 and early 2022 relatively elevated. Economic theory and intuition points to the set of inflation dynamic drivers of the real and possibly monetary character. The high inflation rates have negative economic and social consequences; however, the sources of inflation dynamic determine the adequate monetary policies. The goal of this paper is to analyze theoretically sources of inflation dynamics as the set of real and moneta
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Yılmaz, Durmuş. "Global Economy and Turkey: 2016 and Beyond." In International Conference on Eurasian Economies. Eurasian Economists Association, 2016. http://dx.doi.org/10.36880/c07.01815.

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Irrespective of whether advanced economies (AEs) or emerging market economies (EMEs), the number one problem of the global economy is not being able to generate a satisfactory growth. Income levels is in some countries are barely above the per-crisis level. Despite ample liquidity due to quantitative monetary policies, consumption and investment demands are weak. Because high level of indebtedness deter economic agents from using credit. Credit markets still do not function well either.&#x0D; Quantitative easing policies have been successful in containing further deterioration. Despite ample l
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Mizutani, Tsukasa, and Shunsuke Iwai. "Automated Method for Quantitative Measurement of Underground Construction Sites Using iPhone LiDAR Point Cloud Data." In 2024 AHFE International Conference on Human Factors in Design, Engineering, and Computing (AHFE 2024 Hawaii Edition). AHFE International, 2024. http://dx.doi.org/10.54941/ahfe1005743.

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Electrical transmission methods vary globally between overhead and underground systems. Underground transmission is increasingly favored for several reasons, including landscape aesthetics, enhanced pedestrian safety, and disaster prevention. Overhead systems, while initially cheaper and easier to repair, pose substantial risks during disasters such as earthquakes, where utility poles may collapse, obstructing emergency response and increasing the likelihood of power outages. In contrast, underground systems mitigate these risks effectively.In regions with advanced pole-free electrification li
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Reports on the topic "Fiscal transmission"

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Frenkel, Jacob, and Assaf Razin. The International Transmission and Effects of Fiscal Policies. National Bureau of Economic Research, 1986. http://dx.doi.org/10.3386/w1799.

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Perotti, Roberto. In Search of the Transmission Mechanism of Fiscal Policy. National Bureau of Economic Research, 2007. http://dx.doi.org/10.3386/w13143.

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Corsetti, Giancarlo, and Gernot Müller. Multilateral Economic Cooperation and the International Transmission of Fiscal Policy. National Bureau of Economic Research, 2011. http://dx.doi.org/10.3386/w17708.

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Feyrer, James, and Jay Shambaugh. Global Savings and Global Investment: The Transmission of Identified Fiscal Shocks. National Bureau of Economic Research, 2009. http://dx.doi.org/10.3386/w15113.

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Author, Not Given. Wind Integration, Transmission, and Resource Assessment and Characterization Projects, Fiscal Years 2006-2014. Office of Scientific and Technical Information (OSTI), 2014. http://dx.doi.org/10.2172/1220849.

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Aggarwal, Rishabh, Adrien Auclert, Matthew Rognlie, and Ludwig Straub. Excess Savings and Twin Deficits: The Transmission of Fiscal Stimulus in Open Economies. National Bureau of Economic Research, 2022. http://dx.doi.org/10.3386/w30185.

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Villela, Luiz Arruda, and Vicente Fretes Cibils. The Fiscal Impact of the International Financial Crisis on Latin American and Caribbean Economies. Inter-American Development Bank, 2008. http://dx.doi.org/10.18235/0009070.

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The main objective of this Technical Note is to provide a simple framework to determine the short-term fiscal impact of the international financial crisis on Latin American and Caribbean (LAC) countries, i.e., fiscal financing needs/gap by country (or fiscal liquidity impact). In addition, it will provide a framework to evaluate fiscal sustainability by country (or fiscal solvency impact). In both cases, and depending of the particular country under analysis, transmission mechanisms (variables) will be identified, and sensitivity analysis will be carried out to determine the robustness of thei
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Ndulu, Benno, Cornel Joseph, and Karline Tryphone. Fiscal Regimes and Digital Transformation in Sub-Saharan Africa. Digital Pathways at Oxford, 2021. http://dx.doi.org/10.35489/bsg-dp-wp_2021/01.

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In this paper we investigate how the fiscal authorities, through tax policies or fiscal incentives, can play an important role in supporting digitalisation of the economy (digital transformation) to exploit its opportunities. Our approach is to track the influence of these policies indirectly through relevant determinants of internet adoption (connectivity and user enablers). Hence, we first establish empirically the influence of these enablers on internet use by estimating a reduced form equation of determinants of internet adoption (both demand- and supply-side factors). Then we assess the i
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Sieg, Holger, Chamna Yoon, and Jipeng Zhang. The Impact of Migration Controls on Urban Fiscal Policies and the Intergenerational Transmission of Human Capital in China. National Bureau of Economic Research, 2020. http://dx.doi.org/10.3386/w27764.

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Sanchez-Aragon, Leonardo, Gonzalo E. Sánchez, and Wladimir Zanoni. Stimulating Local Economies through Central Transfers: A Natural Experiment from Ecuador. Inter-American Development Bank, 2025. https://doi.org/10.18235/0013554.

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Abstract:
This paper investigates the causal effects of central-to-local government transfers on local economic activity in Ecuador, utilizing exogenous variation from a reform in the intergovernmental transfer formula implemented in 2018. Addressing gaps in the fiscal decentralization literature, this study provides quasi-experimental evidence from a developing country context. Using an instrumental variables approach, we find that a 1% increase in transfers leads to a 1. 19%-1. 26% increase in local business sales, particularly for small and medium enterprises. We identify recurrent spend- ing, primar
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