01650cas a2200241 a 4500 AALejournalIMF001013 230101c9999 xx r poo 0 0eng d 5.00 USD 9781451853582 1018-5941 BD-DhAAL BD-DhAAL Bhattacharya, Rina. Private Sector Consumption Behavior and Non-Keynesian Effects of Fiscal Policy / Rina Bhattacharya. Washington, D.C. : International Monetary Fund, 1999. 1 online resource (28 pages) IMF Working Papers <strong>Off-Campus Access:</strong> No User ID or Password Required <strong>On-Campus Access:</strong> No User ID or Password Required Electronic access restricted to authorized BRAC University faculty, staff and students This paper explores the hypothesis that the propensity to consume out of income is not constant but varies, perhaps in a nonlinear fashion, with fiscal variables. It examines whether there is any empirical evidence to support the hypothesis that households move from non-Ricardian to Ricardian behavior as government debt reaches high levels and as uncertainty about future taxes increases. The paper also examines the possibility of a relationship (along the lines of the Bertola-Drazen model) between the propensity to consume out of income and the government consumption-to-GDP ratio. Mode of access: Internet IMF Working Papers; Working Paper ; No. 1999/112 Full text available on IMF http://elibrary.imf.org/view/journals/001/1999/112/001.1999.issue-112-en.xml IMF e-Library