A SIMULTANEOUS EQUATIONS MODEL OF FISCAL POLICY INTERACTIONS*
推导了包含政策互动效应的线性支出系统扩展版，并用它同时估计荷兰各市在税收和不同支出类别上的互动，发现互动参数高于传统单方程模型。
ABSTRACT Existing studies of fiscal policy interactions are based on single equation (SE) models of either taxation or expenditures, without specifying the underlying social welfare function, without taking account of budget constraints and without allowing for cost differences between jurisdictions. Taking all this into account, we derive an extended version of the linear expenditure system with policy interaction effects. We use this system to simultaneously estimate interactions in both taxation and different spending categories among Dutch municipalities. Our interaction parameters tend to be higher than those estimated using conventional SE models.