Showing 1 - 10 of 7,577
Aggregate housing demand shocks are an important source of house price fluctuations in the standard macroeconomic …-rent puzzle"). We build a tractable heterogeneous-agent model that provides a microeconomic foundation for housing demand shocks …
Persistent link: https://www.econbiz.de/10012479618
The notion that business cycles are driven by demand shocks is subtle. I first review some of the conceptual and … allows demand shocks to generate realistic business cycles even when nominal rigidity is absent or undone by appropriate …
Persistent link: https://www.econbiz.de/10012453535
pricing in which demand shocks play a central role. These shocks give rise to valuation risk that allows the model to account …, arises because these models load all uncertainty onto the supply side of the economy. We propose a simple theory of asset …
Persistent link: https://www.econbiz.de/10012460043
We propose a theory of indebted demand, capturing the idea that large debt burdens by households and governments lower … aggregate demand, and thus natural interest rates. At the core of the theory is the simple yet under-appreciated observation … lead to indebted household demand, pushing down natural interest rates. Moreover, popular expansionary policies--such as …
Persistent link: https://www.econbiz.de/10012481897
We survey recent literature on the causes of the collapse in international trade during the 2008-2009 global recession. We argue that the evidence points to the collapse in aggregate expenditure, concentrated on trade-intensive durable goods, as the main driver of the trade collapse. Inventory...
Persistent link: https://www.econbiz.de/10012460028
other products by an unusually low elasticity of demand with respect to product failure. While consumers in other markets … potential cures accumulated over time. Because no one was ever cured and consumers possessed a highly inelastic demand with … respect to product failures, demand was unrelenting. In short, patent medicines flourished not despite their dubious medicinal …
Persistent link: https://www.econbiz.de/10012462953
. Equilibrium price dispersion is derived in a setting with costly capacity and demand uncertainty where different fares can be … find evidence that strongly supports both predictions of the models. After controlling for the effect of aggregate demand …
Persistent link: https://www.econbiz.de/10012465579
regarding aggregate productivity. The shock to this public signal, or "news shock," has the features of an aggregate demand … employment. A calibrated version of the model is able to generate realistic amounts of short-run volatility due to demand shocks …
Persistent link: https://www.econbiz.de/10012466187
We investigate the effects of wildfires on risk perceptions by quantifying the impact of severe wildfires on housing … between locations that vary in their perceived level of fire risk. The model allows us to infer the evolution of risk … analysis is based on a multi-dimensional characterization of the potential linkages between fire events and risk perceptions …
Persistent link: https://www.econbiz.de/10012458021
This paper contains a detailed treatment of the human capital model of the demand for health. Theoretical predictions …
Persistent link: https://www.econbiz.de/10012471718