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This paper explores the role of nominal rate of return uncertainty, and inflation hedging as factors explaining the pattern of money de mand. Using U.S. quarterly data over the period 1952II-1982IV, it is shown that in conformity with theoretical considerations the nominal rate of...
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The paper formulates a model of wage determination in which the firm decides on employment after a monopoly union has determined wages. The novelty is to incorporate investment and capital decisions by firms. The subgame-perfect Nash equilibrium and its comparative statics for wages, capital...
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