Prevailing trade theory is a neglected stepchild of economics. Micro rejects the sole reason for trade’s occurrence. It declares zero profit in equilibrium. Monetary theory and macroeconomics dismiss concerns of trade financing. They assert that money has nothing to do with traded output, but...

The belief that equality of demand and supply determines price and clears the market is universal. Shockingly, this belief is unfounded. It contradicts macro’s claim that equality of demand and supply determines output. It contradicts (new) monetary theory, which claims that equality of demand...

Various methods were proposed to understand the linkages in an input- output system; however many focused only on the identification of key sectors in the economy. An alternative approach, identifying analytically importance of elements and combinations of elements was proposed as a field of...

This paper is dedicated to the contributions of Sir Richard Stone, Michael Bacharach, and Philip Israilevich. It starts out with a brief history of biproportional techniques and related matrix balancing algorithms. We then discuss the RAS algorithm developed by Sir Richard Stone and others. We...

Presented here is the mathematical model of business fluctuations, which can be observed in the Economy described by the Input-Output Model of Wassily Leontief. These fluctuations are obtained as a solution of the corresponding matrix differential equations, which interrelate commodities'...

Through the use of aggregate Social Accounting Matrices for Portugal, the flows of funds from three government subsectors to households will be studied, as well as the flows from the latter to the former. From the SAM modelling, both a static and a comparative static analysis will be made, in...

We study the technological pre-conditions for a cost-minimizing choice of technique in the presence of government emission targets on by- products of production. Whether a by-product is a desirable commodity or an undesirable pollutant is determined endogeneously as part of the price-quantity...

El Paso, Texas and Ciudad Juarez, Mexico jointly comprise a large cross- border metropolitan economy. El Paso is an important port-of-entry for international cargo, as well as a key transit point for regional trade flows in the southwestern United States. Reflective of those traits, the...

The paper analyzes a spatial pattern of goods market integration in Russia. By the spatial pattern is meant a state of each individual region of the country: whether it is integrated, and if not, whether it moves towards integration. Time series of the cost of the basket of 25 basic foods across...

Border region electric utility service loads are impacted by national, regional, and international business cycles. To examine whether the cross-border components of these interactions can be reliably assessed, transfer ARIMA models are estimated for three business rate categories in El Paso,...