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Persistent link: https://www.econbiz.de/10013264933
strives to look back and first understand on a macroeconomic level what causes the business cycle of expansion and recession … difficult economic climate. Even though the expansion/recession cycle is still prevalent today, the affects of these swings … economic waters ahead as we try to recover from the current recession. These recommendations hinge on policy advisors and …
Persistent link: https://www.econbiz.de/10009429354
turn reduced growth, especially in upswings – and allowed employment to recover to its initial pre-recession levels …
Persistent link: https://www.econbiz.de/10008651698
In this paper we set up a baseline, but nevertheless advanced and complete model representing detailed goods market dynamics, heterogeneous labor markets, dual and cross-dual wage-price adjustment processes, as well as counter-cyclical government policies. The cyclical movements of output...
Persistent link: https://www.econbiz.de/10009746983
The Financial Crisis of 2008, and the Great Recession in its wake, have shaken up macroeconomics. The paradigm of the …
Persistent link: https://www.econbiz.de/10010242840
The financial and economic crisis brings to a reconsideration of macroeconomics: as it happened in the past, after the Great Crash of 1929 as well as after the Second World War and after the collapse of the Bretton Woods system in 1971 and the subsequent oil crisis. A brief critical survey of...
Persistent link: https://www.econbiz.de/10013120079
This paper develops and analyzes a general-equilibrium model with sticky information. The only rigidity in goods, labor, and financial markets is that agents are inattentive, sporadically updating their information sets, when setting prices, wages, and consumption. After presenting the...
Persistent link: https://www.econbiz.de/10012778241
This paper explores how different credit market and banking regulations affect business fluctuations. Capital adequacy and reserve requirements are analysed for their effect on the risk of severe downturns. We develop an agent-based macroeconomic model in which financial contagion is transmitted...
Persistent link: https://www.econbiz.de/10013021276
This paper asks whether relations of the IS-LM type can sensibly be used for the aggregate demand portion of a dynamic optimizing general equilibrium model intended for analysis of issues regarding monetary policy and cyclical fluctuations. The main result is that only one change -- the addition...
Persistent link: https://www.econbiz.de/10013218718
This paper develops and analyzes a general-equilibrium model with sticky information. The only rigidity in goods, labor, and financial markets is that agents are inattentive, sporadically updating their information sets, when setting prices, wages, and consumption. After presenting the...
Persistent link: https://www.econbiz.de/10012466056