Government Size and International Consumption Risk Sharing

Markus Leibrecht, Johann Scharler

Publikation: Working/Discussion PaperWorking Paper/Preprint

Abstract

We investigate the influence of government size on the exposure of consumption growth to country-specific fluctuations in output growth using a sample of OECD
countries. To the extent that governments are less constrained on international financial markets, it appears conceivable that governments diversify risks internationally on behalf of agents. Our results indicate that the extent of international risk sharing is unrelated to the size of the public sector.
OriginalspracheEnglisch
PublikationsstatusVeröffentlicht - 1 Nov. 2009

Publikationsreihe

ReiheDepartment of Economics Working Papers, Johannes Kepler University of Linz
Nummer0917

Zitat