Michael Stephens — What Happens if We Don’t Raise the Debt Ceiling? A Stock-Flow Analysis

What would that kind of radical austerity do to the economy? Michalis Nikiforos uses the Levy Institute’s macroeconomic model to estimate the effects of beginning rapid fiscal consolidation in the last quarter of this year and maintaining a balanced budget through the rest of the 2014 fiscal year (which is to say, through 2014Q3).

Multiplier Effect
What Happens if We Don’t Raise the Debt Ceiling? A Stock-Flow Analysis
Michael Stephens