The purpose of this paper is to clarify the difference between the mainstream and Keynesian understandings of uncertainty which persists in spite of superficial similarities. It is argued that the difference stems from the mainstream habit of thinking in terms of a full-information benchmark,...

This paper analytically solves a heterogeneous agent model with idiosyncratic shocks to marginal utility of consumption and explores the effects of the borrowing constraint on the price of the asset, the composition of borrowers and lenders in the credit market, and wealth inequality. Results...

In this paper we propose to use the common trends of the Mexican economy in order to predict economic activity one and two steps ahead. We exploit the cointegration properties of the macroeconomic time series, such that, when the series are I(1) and cointegrated, there is a factor...

The description of the dynamics and fluctuations of macro variables remains one of the most exciting problems of financial economics. This paper models macro variables via the description of transactions between agents. We use risk ratings x of agents as their coordinates in the economic space....

Despite of being affected by the economic crisis, the Netherlands managed to minimize its effects. This situation is highlighted in a comparison with Romania and the European Union, between the levels of the most important economic indicators. Moreover, when other countries registered negative...

By analyzing the global economy, one can easily notice that states that record economic growth are competitive, and that the competitive ones collect revenues of billions of dollars from trade, outsourcing and meeting the needs of their citizens. The role of private sector in creating and...

The economic Triad is one of the most important players in the economic world. It is attracting the most of the FDI flows and it is the main investor of the world. The FDI flows between the members of the Triad, USA, Japan and EU, represents more than 400 billion dollars per year.

The economic relations between The Netherlands and USA represent an important pylon for the economic environment from both countries. USA is the main investor in the Netherlands because of it’ fiscal policies but the European country, despite of its small area, it is ranked in top 5 investors...

The transition to an economy that operates on market principles represents a period of profound changes based on redefining the paradigms of development. After more than 20 years from the 1989 events, Romania has already completed some important steps towards an open market economy. The path to...

Auch im Jahr 2000 setzte sich der wirtschaftliche Aufschwung in sehr lebhaftem Tempo fort, und das reale Bruttoinlandsproduktion expandierte um rund 5 1/2 %. Trotz deutlich verbesserter Lage auf dem Arbeitsmarkt sank die Arbeitslosenquote im Jahresdurchschnitt nur um etwa einen halben...