Similar Search Results

New Trade Theory Takes Over Monetary Theory

Gani, M - EconWPA - 2004

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 everything to do with storing value. But now a new trade theory takes over …

Persistent link: https://www.econbiz.de/10005408069

Micro Takes Over Macro

Gani, M - EconWPA - 2004

An analytical innovation enhances microeconomics, enabling it to answer all questions of macroeconomics. It combines the production and consumption decisions of the individual in one model. For each individual, it identifies the customers of what he sells, and the suppliers of what he buys. It...

Persistent link: https://www.econbiz.de/10005412698

Capital Accumulation in an Economy with Heterogeneous Agents and Moral Hazard

Bohacek, Radim - EconWPA - 2001

This paper studies a closed economy with a continuum of agents and moral hazard. Economic agents in the economy operate a stochastic production technology with capital and labor inputs in which the latter is private information. I characterize efficient allocations of capital, labor, and...

Persistent link: https://www.econbiz.de/10005125691

Exit Lucas, Reenter Keynes

Gani, Mohammad - EconWPA - 2004

Keynes (1936) said that shortage of money caused by hoarding or failure to invest led to unemployment, but Lucas (1972) said that money does not affect unemployment. The tables have now turned. Gani (2003) produced a model of indirect trade in which money is necessary as a means of payment....

Persistent link: https://www.econbiz.de/10005561133

Economia sintetica

Vildosola, Luis - EconWPA - 1998

Theoretical study identifying one modality with conditions necesary for the financial stabilization of an inherently unstable system; and 5040 other unstable dynamic modes. It draws on knowledge made available by the academic field of Control Engineering.

Persistent link: https://www.econbiz.de/10005125628

Computing Equilibria in Finance Economies

Herings, P.J.J.; Kubler, F. - EconWPA - 2001

Persistent link: https://www.econbiz.de/10005125623

R&D? A Small Contribution to Productivity Growth

Comin, Diego - EconWPA - 2003

In this paper I evaluate the contribution of R&D investments to productivity growth. The basis for the analysis are the free entry condition and the fact that most R&D innovations are embodied. Free entry yields a relationship between the resources devoted to R&D and the growth rate of...

Persistent link: https://www.econbiz.de/10005561080

Habits, Sentiment and Predictable Income in the Dynamics of Aggregate Consumption

Sommer, Martin - EconWPA - 2004

This paper explores whether habit formation in the representative agent’s preferences can explain two failures of the standard permanent income model: the sensitivity to lagged consumer sentiment, and to predictable changes in income. I show that in a habit formation model, the sensitivity of...

Persistent link: https://www.econbiz.de/10005561179

The Balance Curve: A Foundation of Macro-Dynamics

Konno, Masahiro - EconWPA - 2002

A simple framework is constructed and extended to consider the theory of investment. It shows that there exists in …

Persistent link: https://www.econbiz.de/10005561322

Competitive markets and “as if” methodology

Quesada, Antonio - EconWPA - 2005

Two results showing the limitations of the “as if” methodology are proved under relatively mild assumptions. In an interpretation of the results, a competitive market cannot simulate the outcome of a market M in which the single price assumption does not hold. In a second interpretation, the...

Persistent link: https://www.econbiz.de/10005561785