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receive and distribute a large amount of information. Asymptotic learning therefore requires information to be aggregated in … cliques do not induce asymptotic learning, because each social clique would have sufficient information by itself, making …We develop a model of information exchange through communication and investigate its implications for information …
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In this paper we study the welfare effect of a monopoly innovation. Unlike many partial equilibrium models carried out in previous studies, general equilibrium models are constructed and analyzed in greater details. We discover that, technical innovation carried out by a monopolist could...
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The welfare costs of dynamic factor taxes are analyzed in a dynamic general equilibrium model with heterogeneous endowments, abilities, and tastes. Conventional functional form restrictions yield formulas for the transition effects and marginal welfare costs of factor taxes. Heterogeneity...
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A multisectoral dynamic general equilibrium tax model with and without announcement effects for open and closed capital markets is used to evaluate efficiency gains and transitional effects from equal yield tax reforms for seven different taxes in the UK economy. Impacts of an unanticipated tax...
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