This paper combines models and ideas from radio-engineering literature and economics to address the need for regulation of spectrum allocation in a commons scenario. It discusses under what conditions a laissez-faire policy towards spectrum usage would engender the inefficiencies of a spectrum...

Macroeconomics research has changed profoundly since the Kydland-Prescott seminal paper. In order to address the Lucas Critique, modelling now is based on microfoundations treating agents as rational utility optimizers. Bayesian estimation has produced models which are more data consistent than...

We revisit the work of Borjas (1995) which has provided an influential positive theory of immigration policy. An important feature of his framework is the focus on the skill-composition of immigrants and we retain this feature in our paper. Our contribution to this literature is to extend his...

We analyze the interaction of monetary and fiscal policies in a monetary union where the common central bank is more conservative than the fiscal authorities. When monetary and fiscal policies are discretionary, we find that the Nash equilibrium is sub-optimal with higher output and lower...

The relevance of direct supply-side effects of monetary policy in a New Keynesian DSGE model is studied. We extend a model with several nominal and real frictions by introducing a cost channel of monetary transmission and allowing for non-separability of money and consumption in the utility of...

A United Kingdom (UK) parliamentary seat is commonly referred to as ‘marginal’ if the majority is less than 10% of votes cast thus rendering the seat vulnerable on a swing of 5%. This paper investigates whether the spending behaviour of MPs on selected constituency service expenditure...

We examine a model where households develop external habits by following norms and therefore have multiple habits in both consumption and labour supply. In doing so, they contribute to habit formation and hence pose an externality effect on others. Our findings are: first, that consumption and...

This paper provides a systematic empirical study of the role of credit market frictions in the transmission of monetary shocks. First, using macro data for a developing economy (Pakistan), we show that banking spreads are countercyclical, even when we control for credit risk, monetary policy and...

The paper approaches structural econometric models using an algebraic approach. It shows that the invariance properties of the reduced form and the decision to exclude some of the exogenous variables from the structural equations fundamentally affect the functional form of the structural...

It has been shown that under perfect competition and a Cobb-Douglas production function, a basic real business cycle model may exhibit indeterminacy and sunspots fluctuations when income tax rates are determined by a balanced-budget rule. This paper introduces in an otherwise standard real...