Abstract: This research paper, with the help of the structural vector autoregressive framework (SVAR), attempts to review the size and effectiveness of fiscal multipliers in all the states of India. The value of multipliers is obtained by giving shocks to GDP, government expenditure, and taxes. The paper highlights the policy implications of fiscal multipliers, particularly in terms of designing and implementing effective fiscal policies to address economic downturns. It emphasizes the importance of carefully timing and choosing the composition of fiscal measures to maximize their multiplier effects. By doing so, policymakers can better leverage the impact of fiscal policy to support economic growth and stability.

Keywords: Fiscal multipliers, fiscal policy, Government expenditure, Gross State Domestic Product, Structural VAR.