Showing 1 - 10 of 12,625
: (i) monetary volatility negatively affects long-run growth; (ii) the relation between nominal volatility and growth … increases the negative effect of nominal volatility on mean growth. …We introduce endogenous growth in an otherwise standard NK model with staggered prices and wages. Some results follow …
Persistent link: https://www.econbiz.de/10010335303
In Kaleckian models of distribution and growth the equilibrium rate of capacity utilisation may persistently diverge …-run endogeneity. Generally, we show that in a Kaleckian monetary distribution and growth model, which takes the major features of a …
Persistent link: https://www.econbiz.de/10010460437
This paper studies fiscal policy in a New Keynesian DSGE model with endogenous technology growth in which scarring can …&D and technology adoption, thus depressing the long-run trend. Fiscal policy has long-term effects under endogenous growth … introduce fiscal growth policies in this environment which in the short run raise aggregate demand and simultaneously support …
Persistent link: https://www.econbiz.de/10013469563
We study monetary policy in a New Keynesian (NK) model with endogenous growth and knowledge spillovers external to each … firm. We find the following results: (i) technology and government spending shocks have different effects on growth; (ii …) disinflationary monetary policies entail positive effects on growth; (iii) the optimal long-run inflation rate is zero; (iv) the …
Persistent link: https://www.econbiz.de/10010335327
We provide a Keynesian growth theory in which pessimistic expectations can lead to very persistent, or even permanent …, slumps characterized by unemployment and weak growth. We refer to these episodes as stagnation traps, because they consist in … the joint occurrence of a liquidity and a growth trap. In a stagnation trap, the central bank is unable to restore full …
Persistent link: https://www.econbiz.de/10011667200
This paper analyzes conditions for determinacy in a new Keynesian model with endogenous growth. Endogenous growth … exogenous growth setup to ensure determinacy. …
Persistent link: https://www.econbiz.de/10011764720
reduces the return to innovation, thus reducing TFP growth and generating a permanent loss in output. Using a purely quadratic … approximation to welfare under endogenous growth, we derive normative implications for monetary policy. Away from the zero lower …
Persistent link: https://www.econbiz.de/10012655878
variance of chain-weighted estimates of production-based real GDP growth into sector shares, sector growth rate variances and … co-variances. The principal explanation for the decline in GDP volatility is a fall in the sum of sector variances driven … by a decline in the Services and Manufacturing sector production growth variances. Sector co-variances have had a …
Persistent link: https://www.econbiz.de/10012115486
utility of these methods for modelling growth and volatility regimes present in the New Zealand data and their interaction … their mean and volatility over time. The paper discusses applications of the methodology to identifying changes in growth … performances, and examines the timing of growth and volatility regime switching between production sectors. Conclusions to emerge …
Persistent link: https://www.econbiz.de/10012115495
The post-1983 moderation coincided with an ahistorical divergence in the money aggregate growth and velocity … volatilities away from the downward trending GDP and inflation volatilities. Using an endogenous growth monetary DSGE model, with … micro-based banking production, enables a contrasting characterization of the two great volatility cycles over the …
Persistent link: https://www.econbiz.de/10010288820