Central banks in most advanced economies have reacted similarly to the increase in inflation that started in 2021. They initially looked through the rising inflation by leaving monetary policy relatively unchanged. Then, after inflation continued to increase, central banks pivoted by quickly...

Der vorliegende Beitrag analysiert Helmedags neuste Version des Saldenmechanischen Modells (SM), mit dessen Hilfe eine angeblich langfristig bestehende, relative Konstanz der Lohnstückkosten erklärt werden soll. Die realen Lohnstückkosten steigen jedoch in der Bundesrepublik Deutschland...

This paper proposes a 2-country stock-flow consistent agent-based model of a monetary union and exposes it to three supposed drivers of imbalances in the build-up to the Great Recession: unequal developments in investment, competitiveness and wages. The model has some innovative features: It...

We show that in a New Keynesian model with household heterogeneity, fiscal policy can be a perfect substitute for monetary policy: three simple conditions for consumption taxes, labor taxes, and the government debt level are sufficient to induce the same consumption and labor supply of each...

This paper investigates how conventional monetary policy shocks influence corporate financing decisions. We find that low-risk firms (i.e., firms with low debt burdens) respond more positively in increasing leverage ratios when the Federal Open Market Committee cuts interest rates. These firms...

In this paper we are thinking like Keynesians. In the first part we are modeling economy by using Post Keynesian Stock-Flow consistent model (PK-SCF), later we employ New- Keynesian Dynamic Stochastic General Equilibrium model (NK-DSGE). Keynesian SFC practitioners strongly believe that their...

Gdp even net of obsolescence (ndp) has to be considered only as an expense (investment is an expense; consumption, export minus import, and change of stock, all these indicators are today expenses). As entrepreneur you will never manage your investments by looking only the expenses, it is clear...

The two Cambridge controversy have marked a milestone in economic thinking. By their demonstration neo-Ricardian and post-Keynesian seemed to have proven the impossibility of defining the notion of Capital and, moreover, of being able to aggregate heterogeneous Capital. It is not so.By reasoning...

This paper estimates the distribution-led regime of the US economy for the period 1947–2019. We use a time varying parameter model, which allows for changes in the regime over time. To the best of our knowledge this is the first paper that has attempted to do this. This innovation is...