Showing 1 - 7 of 7
We show how the use of panel data methods such as those proposed in single equations by Kao and Pedroni or in systems by Larsson and Lyhagen to investigate economic hypotheses such as purchading power pariety or the term structure of interest rates may be affected by the existence of cross-unit...
Persistent link: https://www.econbiz.de/10005816391
This paper compares two alternative theories of Aggregate supply, both with a "New Keynesian Flavor". The first assumes that prices are rigis due to the existence of menu costs of the kind advanced by Mankiw [38] and Akerlof and Yellen [2]. The second derives price stickiness endogenously as one...
Persistent link: https://www.econbiz.de/10005816402
There are still problems in handling diversity in economics. The general equilibrium model itself lacks determinacy for a generic population of economic agents. In an ourstanding contribution, Jean-Michel Grandmont (1992) argues that increasing behavioural heterogeneity makes aggregate...
Persistent link: https://www.econbiz.de/10005744288
This Chapter reviews various interactions between the distribution of income across individuals and factors of production on the one hand, and aggregate savings, investment, and macroeconomic growth on the other.
Persistent link: https://www.econbiz.de/10005744319
We propose a simple intertemporal model of output and current account dynamics that we estimate using a cointegrated VAR approach. We suggest a method for identifying global and country-specific shocks from the VAR and test it, using cross-country evidence.
Persistent link: https://www.econbiz.de/10005697683
This paper investigates the effects of introducing imperfect competition in an international business cycle model. We provide some international evidence on markups and analyze the implicactions of increasing returns to scale and monopolistic competition for the effects and the international...
Persistent link: https://www.econbiz.de/10005697717
One of the main topics of macroeconomics analysis is to assess the causes and transmission of business cycles. In order to address this issue, macroeconomists have analysed the response of output to different types of shocks. However, since a shock is by definition an unobserved variable, there...
Persistent link: https://www.econbiz.de/10005697746