The Long-Wave theories of Nikolai Kondratiev and others claim to find mathematic waves in economic and other social data which are at present in dispute. Currently the theory is considered outside the scope of mainstream economics under several rationales. Despite the lack of mainstream...

The paper analyzes the convergence dynamics of a log-linearized open-economy neoclassical growth model under the assumptions of large adjustment costs for human capital investment, moderate adjustment costs for physical capital investment, and perfect capital mobility. The model can be...

Schumpeter had a clear vision of the developing economy, but he did not formalize it. The quest for a germane formal basis is in the following guided by the general question: what is the minimum set of foundational propositions for a consistent reconstruction of the evolving money economy? We...

A system of thought allowed for the free market price of land to cyclically go down to zero. This is the economics of Moses. The economics of Jesus is a restatement of the economics of Moses. The first was applied during Biblical times and the latter, united with Aristotle’s thought and...

Using only aggregate data as observables, we estimate multi-sector sticky-price models for twelve countries, allowing the degree of price stickiness to vary across sectors. We use a specification that allows us to extract information about the underlying cross-sectional distribution from...

Our objective is to understand how fundamental uncertainty can affect the long-run growth rate and what factors determine the nature of the relationship. Qualitatively, we show that the relationship between volatility in fundamentals and policies and mean growth can be either positive or...

The sensitivity of U.S. aggregate investment to shocks is procyclical: the response upon impact increases by approximately 50% from the trough to the peak of the business cycle. This feature of the data follows naturally from a DSGE model with lumpy microeconomic capital adjustment. Beyond...

The rigid-nominal-wage aggregate supply curve is not exactly upward sloping but kinked. For that reason, a demand expansion does not involve an increase but a decrease in employment level and output volume. This problem is due to the theoretical representation of the labor market which is...

Despite the demonstration that non-perfect competition makes money possibly non-neutral (Ng 1977, 1980, 1982, 1986, 1992), economists now (e.g. Dixon and Rankin 1994) still regard additional distortions or frictions, such as menu costs, as necessary in combination with non-perfect competition,...

The interaction of input-output networks with industrial structure affects the propagation and amplification of shocks, and is an important consideration for business cycle fluctuations. This paper shows how the extensive margin of entry and exit can greatly amplify idiosyncratic shocks in the...