The paper presents a Keynesian fiscal policy multiplier model with a federal system of government. The state and local government sector purchases over 60% of the goods and services purchased by the public sector, and receives transfer payments from the federal government. However, state and...

The paper describes the fiscal status of the City of Detroit, leading up to its filing for bankruptcy on July 18, 2013. Then the economic history of metropolitan Detroit and the city of Detroit from 1950 to the present is examined in an effort to answer these questions. Why did Detroit file for...

This study examines elevated/subway and bus ridership for the five cities in the U.S. with the largest elevated/subway systems. Data on individual trips to work from the 2010 Census are employed. The New York elevated/subway system is by far the largest system and carries 18.4% of the trips to...

This article is a theoretical examination of optimal financial leverage for real estate investment in the presence of uncertainty. The main results is to show that uncertainty creates the possibility that a borrower will default on a real estate loan, and that this possibility is the underlying...

This is a short book for students who have taken an introductory course in macroeconomics. The book contains a chapter on each of the major competing macroeconomic theories - Keynesian, Monetarist, real business cycle, and Austrian. Then the book presents macroeconomic data on five episodes in...

The long-term decline in manufacturing employment in the Chicago metropolitan area and in the city of Chicago is examined. Manufacturing employment at the metropolitan level is estimated to decline by 0.90% per year if manufacturing employment is constant in the nation, and to change by about 1%...

A major issue raised by Alfred Marshall is whether competitive industries are subject to increasing or decreasing returns in the long run. If variations from constant returns exist, what are the causes, and is competitive output efficient? In competitive output is not efficient, what policies...

This paper provides an introduction to Keynesian macroeconomic theory as Keynes explained it in The General Theory of Employment, Interest, and Money. Keynes emphasized the principle of effective demand, and argued that the gap between demand for consumption and aggregate supply would increase...