Similar Search Results

A Simple Dynamic Model of Credit and Aggregate Demand

Diaz-Bautista, Alejandro; Escandon, Julio R. - EconWPA - 2003

The purpose of the paper is to present a tractable model of an old topic which is becoming more important in macroeconomics: the link between financial structure and economic activity.

Persistent link: https://www.econbiz.de/10005126180

Monetary and Fiscal Policy Dynamics in an Asymmetric Monetary Union

Clausen, Volker; Wohltmann, Hans-Werner - EconWPA - 2002

This paper investigates the dynamic effects of monetary and fiscal policy in a monetary union, which is characterized by asymmetric interest rate transmission. This asymmetry gives rise to intertemporal reversals in the relative effectiveness of policy on member country outputs. The direction...

Persistent link: https://www.econbiz.de/10005126325

When is monetary policy all we need?

Eser, Fabian; Leith, Campbell; Wren-Lewis, Simon - Department of Economics, Adam Smith Business School - 2009

We consider optimal monetary and fiscal policies in a New Keynesian model of a small open economy with sticky prices …

Persistent link: https://www.econbiz.de/10005012846

Monetary and fiscal policy under deep habits

Leith, Campbell; Moldovan, Ioana; Rossi, Raffaele - Department of Economics, Adam Smith Business School - 2009

to optimal monetary policy. We explore this consensus assignment in an economy subject to ‘deep’ habits at the level of … economy subject to the additional externality of deep habits and explore the ability of simple (but potentially nonlinear …

Persistent link: https://www.econbiz.de/10005103166

Fiscal Sustainability in a New Keynesian Model - Additional Appendix

Leith, Campbell; Wren-Lewis, Simon - Department of Economics, Adam Smith Business School - 2012

Recent work on optimal monetary and fiscal policy in New Keynesian models suggests that it is optimal to allow steady-state debt to follow a random walk. Leith and Wren-Lewis (2012) consider the nature of the timeinconsistency involved in such a policy and its implication for discretionary...

Persistent link: https://www.econbiz.de/10010896995

Compatibility Between Monetary and Fiscal Policy Under EMU

leith, Campbell; Wren-Lewis, Simon - Department of Economics, Adam Smith Business School

stability. In this paper, we relax the assumptions underpinning the FTPL by developing a two country open economy model, where …

Persistent link: https://www.econbiz.de/10005729948

Interactions Between Monetary and Fiscal Policy under Flexible Exchange Rates

Leith, Campbell; Wren-Lewis, Simon - Department of Economics, Adam Smith Business School

operating under flexible exchange rates has suggested that, in contrast to the closed economy FTPL, insolvent fiscal policy may … FTPL by developing a two country open economy model, where each country has overlapping generations of non … stabilise the debt of another fiscal authority, and there is no requirement that these policy makers operate in the same economy …

Persistent link: https://www.econbiz.de/10005729954

Electoral uncertainty and the deficit bias in a New Keynesian Economy

Leith, Campbell; Wren-Lewis, Simon - Department of Economics, Adam Smith Business School - 2008

Political Economy, has focused on real economies where there is strategic use of policy instruments in a world of political … conflict. In this paper we combine these literatures and assume that policy is set in a New Keynesian economy by one of two …/or composition). Given the environment, policy shall be realistically constrained to be time-consistent. In a sticky-price economy …

Persistent link: https://www.econbiz.de/10005729959

Measuring China's Fiscal Policy Stance

Dullien, Sebastian - EconWPA - 2005

This paper argues that the tradtitional way of gauging a country's fiscal policy stance by looking at government budget deficit or cyclically adjusted budget deficits is misleading in the case of China, since a lot of what usually would be considered fiscal policy is conducted via investment by...

Persistent link: https://www.econbiz.de/10005076727

The Global Dimension to Fiscal Sustainability

Byrne, Joseph P.; Fiess, Norbert; MacDonald, Ronald - Department of Economics, Adam Smith Business School - 2008

This paper examines the issue of fiscal sustainability in emerging market countries and industrial countries. We highlight the importance of the time series properties of the primary surplus and debt, and find evidence of a positive long run relationship. Consequently we emphasise, that...

Persistent link: https://www.econbiz.de/10005811778