Showing 1 - 10 of 253
This paper proposes a dynamic politico-economic theory of fiscal policy in a world comprising a set of small open …
Persistent link: https://www.econbiz.de/10011083405
This paper explores the formation of cities through labour specialization, gains to trade, a fixed cost for the transportation network, imperfect competition between firms, and the commuting costs of consumers. The model uses a very general setting, allowing a multidimensional location space and...
Persistent link: https://www.econbiz.de/10005498079
Empirical evidence indicates that trades by institutional investors have sizable effects on asset prices, generating phenomena such as index effects, asset-class effects and others. It is difficult to explain such phenomena within standard representative-agent asset pricing models. In this...
Persistent link: https://www.econbiz.de/10011083249
In this paper, we study asset prices in a dynamic, continuous-time, general-equilibrium endowment economy where agents have “catching up with the Joneses” utility functions and differ with respect to their beliefs (because of differences in priors) and their preference parameters for time...
Persistent link: https://www.econbiz.de/10011083492
We propose a general model of monopolistic competition, which encompasses existing models while being flexible enough to take into account new demand and competition features. The basic tool we use to study the market outcome is the elasticity of substitution at a symmetric consumption pattern,...
Persistent link: https://www.econbiz.de/10011083517
The aim of this paper is to explore the structure of cities as a function of labor differentiation, gains to trade, a fixed cost for constructing the transportation network, a variable cost of commodity transport, and the commuting costs of consumers. Firms use different types of labor to...
Persistent link: https://www.econbiz.de/10011083732
We examine the validity of a macroeconomic version of the Modigliani-Miller theorem. For this purpose, we develop a general equilibrium model with two production sectors, risk-averse households and financial intermediation by banks. Banks are funded by deposits and (outside) equity and monitor...
Persistent link: https://www.econbiz.de/10011084423
We analyze the role of optimal income taxation across different local labor markets. Should labor in large cities be taxed differently than in small cities? We find that a planner who needs to raise revenue and is constrained by free mobility of labor across cities does not choose equal taxes...
Persistent link: https://www.econbiz.de/10011145397
-US interregional trade data, we structurally estimate a theory-based gravity equation system featuring endogenous wages and …
Persistent link: https://www.econbiz.de/10005061476
The relationship between our general equilibrium model with multimember households and club models with multiple private goods is investigated. The main distinction in the definitions consists of the equilibrium concepts. As a rule, competitive equilibria among households where no group of...
Persistent link: https://www.econbiz.de/10005661913