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Economic theories for policy are naturally biased either to capitalism or socialism, in ideological opposition. The theories are used as rhetorical tools by right or left politicians to argue for less or more government spending. The reality is: most economies are at least to some extent...
Persistent link: https://www.econbiz.de/10012843617
economic crisis and its impact on Zimbabweans, indicating the steps needed for national recovery and sustainable development …
Persistent link: https://www.econbiz.de/10012722874
Zimbabwe's prolonged crisis illustrates the consequences of short-sighted and inappropriate economic policies, as it … strong Sino-Africa relations. This paper surveys Zimbabwe's economic crisis, and discusses some of the factors impeding the …
Persistent link: https://www.econbiz.de/10012722876
This paper proposes a model of economy with weakly non-separable preferences for both work effort and consumption. Households who derive utility from consumption of a single commodity and leisure take into account the habitual dependency of their utility on both labour supply and consumption in...
Persistent link: https://www.econbiz.de/10012725125
disciplined fiscal policy during the height of crisis, countering standard Keynesian recommendations of expansionary fiscal … impact of disciplined fiscal policy on post-crisis recovery. The model demonstrates via simulations that disciplined fiscal … policy will improve (worsen) post-crisis recovery in the presence (absence) of appropriately defined production flexibility …
Persistent link: https://www.econbiz.de/10012779170
The paper develops a model of inflationary finance that defines the fiscal deficit as a function of the virtual deficit a deficit that would be observed if inflation were zero. It studies the negative relationship between the inflation rate and real government expenditures the Patinkin effect....
Persistent link: https://www.econbiz.de/10012782252
We assess the link between fiscal policy and credit and commodity price booms and busts. We do so by investigating the impact of financial and commodity price cycles on the identification of episodes of fiscal consolidation and stimulus and the size of the fiscal impulse. We find that...
Persistent link: https://www.econbiz.de/10012956192
Wynne Godley and Hyman Minsky were two macroeconomists who ‘saw the crisis coming'. This paper develops a simple …
Persistent link: https://www.econbiz.de/10012896328
In mid-September 2008, a global financial crisis erupted which was followed by the most serious worldwide economic … examines how and to what extent these crisis-related interventions, as well as the fall-out from the recession, have had an … countries. The paper also discusses the appropriate design of fiscal exit and consolidation strategies in the context of the …
Persistent link: https://www.econbiz.de/10012758043
In this article we study the tradeoffs between average output and reduced volatility due to macroeconomic intervention. Using a Keynesian model of regulated Brownian motion with an endogenous producer/investor term, we show that when intervention is perfect and costless, the rewards in terms of...
Persistent link: https://www.econbiz.de/10012768023