Huang, Kevin X.D.; Meng, Qinglai - Vanderbilt University Department of Economics - 2010
A challenge facing the literature of equilibrium indeterminacy and sunspot-driven business cycle fluctuations based on … increasing returns to scale in production is that the required degree of increasing returns for generating indeterminacy can be … relative wage effect can both lower the required degree of increasing returns for indeterminacy to an empirically plausible …