In this paper we study the welfare effect of a monopoly innovation. Unlike many partial equilibrium models carried out in previous studies, general equilibrium models with non-price-taking behavior are constructed and analyzed in greater detail. We discover that technical innovation carried out...

This paper identifies the determinants and patterns of mass migration in Moldova – a country in which migration has become the dominant socioeconomic phenomenon in a period of less than 8 years. Special emphasis is placed on seasonal migration, which has become increasingly popular in many...

Traditionally, observed fluctuations in aggregate economic time series have been mainly modelled as being the result of exogenous disturbances. A better understanding of macroeconomic phenomena, however, surely requires looking directly at the relations between variables that may trigger...

We analyse the influence of climate on average life satisfaction in 87 countries using data from the World Values Survey. Climate is described in terms of ‘degree-months’ calculated using an optimally-selected base temperature of 65°F (18.3°C). Our results suggest that countries with...

Following a major earthquake off the Pacific coast of Japan, a tsunami disabled the power supply and cooling of three reactors in Fukushima, causing a major nuclear accident on 11 March 2011. Based on a quasi-experimental difference-in-differences approach we use panel data for 5,979 individuals...

The impact on internal migration of the recent Customs Union (CU) agreement between Turkey and the European Union (EU) has been studied with an intra-industry trade Applied General Equilibrium (AGE) model with intersectoral capital mobility, under two alternative specifications for the labour...

A large market economy has a huge number of degrees of freedom with weak microlevel coordination. The implicit microfoundations' approach assumes this property of micro-level interactions more strongly conditions macro-level outcomes compared to the precise details of individual choice behavior;...

The standard Walrasian equilibrium theory requires that the marginal value product of production factor such as labor is equal across firms and industries. However, productivity dispersion is widely observed in the real economy. Search theory allegedly fills this gap by encompassing apparent...

We show how time-dependent macroeconomic response follows from microeconomic dynamics using linear response theory and a time-correlation formalism. This theory provides a straightforward approach to time-dependent macroeconomic model construction that preserves the heterogeneity and complex...

In this paper, we explore a dynamical version of by Aoki and Yoshikawa model (AYM) for an economy driven by demand. We show that when an appropriate Markovian dynamics is taken into account, AYM has di¤erent equilibrium distributions depending on the form of transition probabilities. In the...