Showing 1 - 10 of 12
individuals' moral intuitions. The essay then explores an alternative normative framework, dubbed the Just Deserts Theory …
Persistent link: https://www.econbiz.de/10013146265
depends on the concentration of these aggregate shocks; it follows that one cannot estimate the degree of risk aversion from …
Persistent link: https://www.econbiz.de/10013227010
This paper examines the dynamic impact of government purchases in a simple general equilibrium model with both durable and non-durable consumer goods as well as productive capital. The model generates perhaps surprising results. In particular, increases in government purchases are shown to cause...
Persistent link: https://www.econbiz.de/10013221528
This paper presents and tests a positive theory of monetary and fiscal policy. The government chooses the rates of … intertemporal budget constraint. The theory implies that nominal interest rates and inflation are random walks. It also implies that … for the theory …
Persistent link: https://www.econbiz.de/10013239975
This paper surveys the research in the past decade on imperfect information models of aggregate supply and the Phillips curve. This new work has emphasized that information is dispersed and disseminates slowly across a population of agents who strategically interact in their use of information....
Persistent link: https://www.econbiz.de/10013147370
This paper discusses the reemergence of Keynesian economics during the past decade. It highlights the substantial differences between new Keynesian economics and the convictions of early Keynesians. In particular, it points out that new Keynesians have adopted many views that were once...
Persistent link: https://www.econbiz.de/10013247272
This paper addresses the issue of how to give optimal advice about monetary policy when it is known that the advice may not be heeded. We examine a simple macroeconomic model in which monetary policy has the ability to stabilize output by offsetting exogenous shocks to aggregate demand. The...
Persistent link: https://www.econbiz.de/10013232743
This paper examines the choice of monetary policy in response to seasonal fluctuations in the economy. It discusses the costs and benefits of smoothing interest rates over the seasons, which has been the Fed's policy since its founding in 1914, and presents simulations suggesting how the economy...
Persistent link: https://www.econbiz.de/10013127569
The macroeconomic analysis of fiscal policy is usually based on one of two canonical models--the Barro-Ramsey model of infinitely-lived families or the Diamond-Samuelson model of overlapping generations. This paper argues that neither model is satisfactory and suggests an alternative. In the...
Persistent link: https://www.econbiz.de/10013213064
This paper addresses the issue of how to give optimal advice about monetary policy when it is known that the advice may not be heeded. We examine a simple macroeconomic model in which monetary policy has the ability to stabilize output by offsetting exogenous shocks to aggregate demand. The...
Persistent link: https://www.econbiz.de/10012777153