Showing 1 - 9 of 9
Persistent link: https://www.econbiz.de/10003886107
Based on neoclassical theory, cutting budget deficits has come to be seen as a principal way to increase long-run growth, but the empirical evidence is ambiguous on the outcome of this macropolicy. A new model, the classical growth cycles (CGC) model, offers an alternative theoretical framework...
Persistent link: https://www.econbiz.de/10009381193
Persistent link: https://www.econbiz.de/10003323743
Persistent link: https://www.econbiz.de/10010395293
Persistent link: https://www.econbiz.de/10000993919
Persistent link: https://www.econbiz.de/10000997632
Persistent link: https://www.econbiz.de/10001445600
This paper is an extension of an earlier working paper ("Finance and the Macroeconomic Process in a Classical Growth and Cycles Model," Levy Institute Working Paper No. 253). The basic structure of the model remains unchanged in that it is based on a social accounting matrix (SAM) with...
Persistent link: https://www.econbiz.de/10014173047
Both classical and Keynes's theories of effective demand posit that capital accumulation is driven by the expected net rate of profit (i.e., by the difference between the expected rate of profit and the interest rate). In both schools, an increase in the interest rate will reduce the net rate of...
Persistent link: https://www.econbiz.de/10013172960