Published Classic Quarterly Journal of Economics Published Nov 2002An Empirical Characterization of the Dynamic Effects of Changes in Government Spending and Taxes on OutputOlivier Blanchard · Roberto PerottiThis paper by Olivier Blanchard and Roberto Perotti (QJE 2002; circulated from 1998) characterizes the dynamic effects of U.S. government spending and net tax shocks on output using a structural VAR …