The model presented here derives the product life cycle of durable goods. It is based on the idea that the purchase process consists of first purchase and repurchase. First purchase is determined by the market penetration process (diffusion process), while repurchase is the sum of replacement...

If producers have more information than consumers about goods’ attributes, then they may use non-price (rather than price) adjustment mechanisms and, consequently, the market may reach a new equilibrium even if prices remain sticky. We study a situation where producers adjust the quantity (per...

Analyzing a large weekly retail transaction price dataset, we uncover a surprising regularity—small price increases occur more frequently than small price decreases for price changes of up to about 10 cents, while there is no such asymmetry for larger price changes. The asymmetry holds for the...

Farmer and Wendner (2004) consider the sensitivity of policy effects, as implied by dynamic multi-sector computable general equilibrium models, with respect to the specification of capital and investment aggregation. They demonstrate that (small) differences in the specification of capital and...

The traditional consumption function based on the life cycle permanent income hypothesis (LC-PIH) considers that consumer spending is based on households’ expectations of their future income. However, in short-term forecasting, the traditional economic determinants of consumption do not...

This paper presents the main results of a model of import demand of wood products in the U.S. and its implications for Colombia. The time length considered here was 1980-1999. The theoretical model used was developed by Deaton and Muellbauer in 1980 and it is called: An Almost Ideal Demand...

This paper presents a nonparametric model of interdependent preferences, where an individual’s consumption may be an externality on the preferences of other consumers. We assume that individual price consumption data is observed for all consumers and prove that the general model imposes few...

This paper attempts to analyze “central place theory” of spatial economics based on “supply and demand theory” in microeconomics and “field theory” in physics, and also discuss their relationship. Three most important research findings are described below. Firstly, the concept of...

In this paper I analyse a labour market where the wage is endogenously determined according to an Efficient Bargaining process between a firm and a labour union whose members are partitioned into two social groups: the old and the young. Furthermore, I exploit the Single-Mindedness theory, which...

The objective of this paper is to study the implementation of an integrated system of information, based on Geographic Information Systems (GIS) technologies, on the fossil fuels market that can bring economic benefits to the consumers, create conditions for a more effective interview of the...