Fiscal policy on Peru’s gross domestic product through fiscal multipliers, 2000 – 2022
This study examines the impact of fiscal policy on Peru’s Gross Domestic Product (GDP) using fiscal multipliers and a structured vector autoregressive (SVAR) model to analyze the economic response to fiscal shocks. Fiscal multipliers were analyzed in the context of current government spending, capit...
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| Format: | Article |
| Language: | English |
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Taylor & Francis Group
2025-12-01
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| Series: | Cogent Economics & Finance |
| Subjects: | |
| Online Access: | https://www.tandfonline.com/doi/10.1080/23322039.2025.2457484 |
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| author | Jhunniors Puscan Visalot Omer Cruz Caro Alex Javier Sánchez Pantaleón Einstein Sánchez Bardales Angelica María Carrasco Rituay River Chavez Santos |
| author_facet | Jhunniors Puscan Visalot Omer Cruz Caro Alex Javier Sánchez Pantaleón Einstein Sánchez Bardales Angelica María Carrasco Rituay River Chavez Santos |
| author_sort | Jhunniors Puscan Visalot |
| collection | DOAJ |
| description | This study examines the impact of fiscal policy on Peru’s Gross Domestic Product (GDP) using fiscal multipliers and a structured vector autoregressive (SVAR) model to analyze the economic response to fiscal shocks. Fiscal multipliers were analyzed in the context of current government spending, capital spending, and taxes, considering quarterly data, to investigate their effects on Peru’s real gross domestic product. Using an SVAR methodology and impulse response analysis (IRF), it was possible to obtain that, after an increase in current spending, GDP initially decreases; and as time passes, it fluctuates and recovers. Capital spending shows that an increase leads to an almost immediate increase in GDP, and in the long term, it maintains stability. On the other hand, in response to taxes, initial negative effects were found in the short term. However, they are offset and tend to stabilize, where the magnitude and duration of this effect depend on several economic and political factors. |
| format | Article |
| id | doaj-art-dec2f21cd5cf4171bc738e69a2c3df3f |
| institution | Kabale University |
| issn | 2332-2039 |
| language | English |
| publishDate | 2025-12-01 |
| publisher | Taylor & Francis Group |
| record_format | Article |
| series | Cogent Economics & Finance |
| spelling | doaj-art-dec2f21cd5cf4171bc738e69a2c3df3f2025-01-28T07:56:00ZengTaylor & Francis GroupCogent Economics & Finance2332-20392025-12-0113110.1080/23322039.2025.2457484Fiscal policy on Peru’s gross domestic product through fiscal multipliers, 2000 – 2022Jhunniors Puscan Visalot0Omer Cruz Caro1Alex Javier Sánchez Pantaleón2Einstein Sánchez Bardales3Angelica María Carrasco Rituay4River Chavez Santos5Universidad Nacional Toribio Rodríguez de Mendoza de Amazonas, Instituto de Investigación de Economía y Desarrollo – IDED, Chachapoyas, PeruUniversidad Nacional Toribio Rodríguez de Mendoza de Amazonas, Chachapoyas, PeruUniversidad Nacional Toribio Rodríguez de Mendoza de Amazonas, Instituto de Investigación de Economía y Desarrollo – IDED, Chachapoyas, PeruUniversidad Nacional Toribio Rodríguez de Mendoza de Amazonas, Chachapoyas, PeruUniversidad Nacional Toribio Rodríguez de Mendoza de Amazonas, Chachapoyas, PeruUniversidad Nacional Toribio Rodríguez de Mendoza de Amazonas, Chachapoyas, PeruThis study examines the impact of fiscal policy on Peru’s Gross Domestic Product (GDP) using fiscal multipliers and a structured vector autoregressive (SVAR) model to analyze the economic response to fiscal shocks. Fiscal multipliers were analyzed in the context of current government spending, capital spending, and taxes, considering quarterly data, to investigate their effects on Peru’s real gross domestic product. Using an SVAR methodology and impulse response analysis (IRF), it was possible to obtain that, after an increase in current spending, GDP initially decreases; and as time passes, it fluctuates and recovers. Capital spending shows that an increase leads to an almost immediate increase in GDP, and in the long term, it maintains stability. On the other hand, in response to taxes, initial negative effects were found in the short term. However, they are offset and tend to stabilize, where the magnitude and duration of this effect depend on several economic and political factors.https://www.tandfonline.com/doi/10.1080/23322039.2025.2457484Fiscal multipliersfiscal policyeconomic growthautoregressive vectorsimpulse responsePolitical Economy |
| spellingShingle | Jhunniors Puscan Visalot Omer Cruz Caro Alex Javier Sánchez Pantaleón Einstein Sánchez Bardales Angelica María Carrasco Rituay River Chavez Santos Fiscal policy on Peru’s gross domestic product through fiscal multipliers, 2000 – 2022 Cogent Economics & Finance Fiscal multipliers fiscal policy economic growth autoregressive vectors impulse response Political Economy |
| title | Fiscal policy on Peru’s gross domestic product through fiscal multipliers, 2000 – 2022 |
| title_full | Fiscal policy on Peru’s gross domestic product through fiscal multipliers, 2000 – 2022 |
| title_fullStr | Fiscal policy on Peru’s gross domestic product through fiscal multipliers, 2000 – 2022 |
| title_full_unstemmed | Fiscal policy on Peru’s gross domestic product through fiscal multipliers, 2000 – 2022 |
| title_short | Fiscal policy on Peru’s gross domestic product through fiscal multipliers, 2000 – 2022 |
| title_sort | fiscal policy on peru s gross domestic product through fiscal multipliers 2000 2022 |
| topic | Fiscal multipliers fiscal policy economic growth autoregressive vectors impulse response Political Economy |
| url | https://www.tandfonline.com/doi/10.1080/23322039.2025.2457484 |
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