This paper estimates government purchase multipliers for a large number of OECD countries, allowing these multipliers to vary smoothly according to the state of the economy. The authors adapt their previous methodology to use direct projections rather than the SVAR approach to estimate multipliers, which economizes on degrees of freedom and relaxes assumptions on impulse response functions. The findings confirm that GDP multipliers of government purchases are larger in recessions, and controlling for real-time predictions of government purchases tends to increase the estimated multipliers of government spending in recessions. The responses of other key macroeconomic variables, such as private consumption, investment, employment, and prices, also vary over the cycle, consistent with the varying impact on GDP. The paper discusses the robustness of these results and explores how macroeconomic characteristics, such as government debt and labor market regulations, are correlated with the size of government spending multipliers. Overall, the results support the Keynesian view that fiscal policy is more effective in stimulating economic activity during recessions.This paper estimates government purchase multipliers for a large number of OECD countries, allowing these multipliers to vary smoothly according to the state of the economy. The authors adapt their previous methodology to use direct projections rather than the SVAR approach to estimate multipliers, which economizes on degrees of freedom and relaxes assumptions on impulse response functions. The findings confirm that GDP multipliers of government purchases are larger in recessions, and controlling for real-time predictions of government purchases tends to increase the estimated multipliers of government spending in recessions. The responses of other key macroeconomic variables, such as private consumption, investment, employment, and prices, also vary over the cycle, consistent with the varying impact on GDP. The paper discusses the robustness of these results and explores how macroeconomic characteristics, such as government debt and labor market regulations, are correlated with the size of government spending multipliers. Overall, the results support the Keynesian view that fiscal policy is more effective in stimulating economic activity during recessions.