Replication data for: A Model-Based Evaluation of the Debate on the Size of the Tax Multiplier

Ryan Chahrour, Martín Uribe & Stephanie Schmitt-Grohé
The SVAR and narrative approaches to estimating tax multipliers deliver significantly different results. The former yields multipliers of about 1 and the latter of about 3. The two approaches differ along two important dimensions: the identification scheme and the reduced-form transmission mechanism. This paper uses a DSGE-model to evaluate the hypothesis that the difference in multipliers is due to differences in transmission mechanisms. The main finding of the paper is that this hypothesis is rejected....
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