This paper reconsiders fiscal policy effectiveness in light of the recent economic crisis. It examines the fiscal policy approach advocated by the economics profession today and the specific policy actions undertaken by the Bush and Obama administrations. An examination of the labor market...

This paper challenges the prevailing view of the neutrality of the labour income share to labour demand, and investigates its impact on the evolution of employment. Whilst maintaining the assumption of a unitary long-run elasticity of wages with respect to productivity, we demonstrate that...

This paper documents the uneven impacts of technological change and trade on labor markets in advanced economies. Over the past 20 years, these trends have lifted living standards in emerging markets and developing economies and everywhere. In advanced economies, technological innovation and the...

The rate at which unemployed workers find jobs exhibits a strong negative relationship with the level of unemployment, a strong positive relationship with the level of job vacancies, and little variation at low frequencies. These stylized facts imply a positive correlation between unemployment...

In the present paper it will be pointed out with a panel data econometric model that government debt puts banking sector at stake since the volume of not performing loans goes up. The estimation of the model is made feasible through the Eviews software package. The present paper is based on...

In a Walrasian labor market, the labor income share is constant under the assumptions of a Cobb-Douglas production function and perfect competition. Given the observed decline of the labor share in recent decades, this paper relaxes these assumptions, proposes a time-series calculation of the...

The paper evaluates the fiscal policy initiatives during the Great Recession in the United States. It argues that, although the nonconventional fiscal policies targeted at the financial sector dwarfed the conventional countercyclical stabilization efforts directed toward the real sector, the...

Persisting high unemployment and income inequality are two serious problems in global macroeconomic management. This paper sets out to explore the possible connection behind the co-existence of the two problems with an empirical study of the US from 1941-2010. Using the wage share in aggregate...

In the present paper, through an empirical analysis, the view of Corsini (2010) will be supported and will be further discussed that education is panacea. The sample covers all industrialised world. Data are taken from Eurostat. The elaboration of these panel data is made feasible by means of...

Between Keynes's verbalized theory and its formal basis persists a lacuna. The conceptual groundwork is too small and not general. The quest for a comprehensive formal basis is guided by the question: what is the minimum set of foundational propositions for a consistent reconstruction of the...