Investors in financial markets face several restrictions apart from wealth constraints. The first attempt to understand these restrictions in a general competitive equilibrium framework can be traced back to Radner (1972). Here these restrictions are assumed to be given exogenously, as first...

This paper examines the problem of optimal tax mix analytically in a two-sector growth model with transitional dynamics. Tax revenue is required to provide a pure public good. The key problems are: over-consumption of leisure under labor income or consumption taxes; and under-investment in human...

Der anhaltende Anstieg des Pro-Kopf-Einkommens ist die wichtigste Eigenschaft, die kapitalistische Länder seit mehreren Dekaden aufweisen. Grund für das anhaltende Wachstum ist hauptsächlich der technische Fortschritt. Die vorliegende Arbeit beschäftigt sich vor allem damit, wie technischer...

In this paper, a dynamic general equilibrium (DGE) model of growth–inequality relationships, with missing credit markets, knowledge spillover and self-employed agents, is calibrated to New Zealand data. The model explains how two distinct policy shocks involving redistribution and immigration...

The paper focuses on artificial stock market simulations using a multi-agent model incorporating 2,000 heterogeneous agents interacting on the artificial market. The agents interaction is due to trading activity on the market through a call auction trading mechanism. The multi-agent model uses...

We postulate a nonlinear DSGE model with a financial sector and heterogeneous households. In our model, the interaction between the supply of bonds by the financial sector and the precautionary demand for bonds by households produces significant endogenous aggregate risk. This risk induces an...

¿Tiene la economía española un nivel óptimo de progresividad en el impuesto sobre la renta de las personas físicas (IRPF)? Este artículo cuantifica las consecuencias agregadas, distribucionales y de bienestar de establecer la progresividad del IRPF en su nivel óptimo. Con objeto de...

Summary of Banco de España Working Paper no. 2101. Published in SERIEs - Journal of the Spanish Economic Association, vol. 11(4), pp. 407-455, November 2020

A common finding in empirical studies using micro data on consumer and producer prices is that hazard functions for price changes are decreasing. This means that a firm will have a lower probability of changing its price the longer it has kept it unchanged. This result is at odds with standard...