Showing 1 - 3 of 3
Purpose: We introduce non-Ricardian ("hand-to-mouth") myopic agents into an otherwise standard real-business-cycle (RBC) setup augmented with a detailed government sector.We investigate the quantitative importance of the presence of non-optimizing households for cyclical fluctuations in...
Persistent link: https://www.econbiz.de/10012261247
This paper explores the business cycle in Bulgaria and the Baltic countries: Estonia, Latvia and Lithuania during the 1993-2005 period. The paper aims at deepening the understanding of the nature of output fluctuations. The neoclassical approach will be employed, much in the spirit of the real...
Persistent link: https://www.econbiz.de/10011484209
/Methodology/Approach: This specification with the nominal wage rigidity,when calibrated to Bulgarian data after the introduction of the currency … those characterizing the labor market in particular. Findings: As nominal wage frictions are incorporated, the variables … suggest that wage rigidities are a quantitatively important model ingredient, which should be taken into consideration when …
Persistent link: https://www.econbiz.de/10012384084