This paper studies wealth redistribution in a framework where individual portfolio choices and associated returns are correlated with wealth through: (i) type dependence, which reflects that investment skills drive returns and (ii) scale dependence, which captures that wealth itself triggers...

The favorable taxation of capital gains has seen extensive ex post celebration and condemnation, but the ex-ante reason for the taxation’s enactment has largely been forgotten. This Article, written one hundred years after the capital gains tax preference was first enacted in 1921, responds to...

We trace Japanese corporate investment across different types of firms over the past decades and estimate the main determinants of investment. We find that there are differences in investment behavior between firms expanding abroad and those operating mainly in domestic markets. On the back of a...

After Congress revised the Bankruptcy Code in 2005, courts have taken divergent views about how to apply 11 U.S.C. § 522 in relation to state exemptions. Three main interpretations have developed: antiextraterritoriality, preemption, and state-specific. This Note advocates the state-specific...

Lucas (2003) argues that the potential welfare gains from stabilizing the business cycle are small. In fact, he shows that the benefits of eliminating all economic fluctuations are small, both in an absolute sense and when compared to the potential gains from other reforms. His estimates are...

Grandmont (1985) found that the parameter space of the most classical dynamic models are stratified into an infinite number of subsets supporting an infinite number of different kinds of dynamics, from monotonic stability at one extreme to chaos at the other extreme, and with all forms of...

We compare welfare levels under two alternative fiscal rules: a procyclical balanced budget policy and an acyclical structural surplus (government accumulates assets). We use a dynamic, stochastic, general equilibrium model. The acylical rule benefits households that do not enjoy access to...

The first step in designing effective policies to stabilize an economy is to understand business cycles. No country is isolated from the world economy and external shocks are becoming increasingly important. The author documents the sources of macroeconomic fluctuations in 22 emerging-market...

The article formulates the general political-economic possibilities for smoothing of business cycles under the realistic assumptions of the current credit-economy. Firstly it endeavours to explain the mechanism of the financial and real economy functioning with an emphasis on banking sector. The...

The paper considers the problem of autonomous recessions in the Russian economy, which are explained as a drop of the output caused by endogenous shocks of the supply and/or demand. In order to determine possible factors of the autonomous recession we consider the stylized facts and other...