We analyse the key characteristics of simple models of overlapping generations where capital is endogenous, and money plays norole. The main focus is on the codyamics of interest rates, wages, and consumption with capital.

This paper examines optimum inflation in the context of a positive requirement for government revenue, to be financed by distrotionary taxation, and a monetary system where bank deposits coexist with currency.

In a simple overlapping generations set-up, faster nominal money growth is found to squeeze labour and divert savings towards physical capital. Its net effect on both output and welfare is ambiguous. The main variable that can resolve these ambiguities is the profit share in income: the lower...

Faster population growth lowers steady-state utility per head in simple Ramsey and Solowian growth models. In overlapping generations models, however, it always raises utility per head in the steady state when money is the sole asset.

How can we best explain the behavior of exports into Britain and Germany from 1975 to 1995? Our study uses a highly disaggregated data det to find some evidence of hysteresis in trade flows (rather stronger for German imports than for British) and the role of technology proxies, particularly...

The main conclusion is that the negligible proprnsity to save for the poor can be explained stasfactorily without invoking the idea that the poor discount future utility at an excessive rate.

Starting with a world where all countries apply Nash-optimal tariffs aginst all imports, we ask when , if ever, a group of countries can gain by trading freely ("promise") and when, if ever, it pays an outsider to join them ("attractiveness").

The simplest flat tax proposals envisage a single marginal tax rate applying on all income. In the context of a simple model where agents vary in ability to earn, we demonstrate (a) that everyone is better off in the long run with an income-tax exemption for investment, than without it, and (b)...