Monetary Policy Rules in the Presence of an Punnoose Jacob Christie Smith
... Most of structural parameters are calibrated to match NZ data. The rest are estimated using Bayesian methods Sample period:1993 Q4 to 2013 Q3 before the LVR restriction was introduced. The estimated model does not have the borrowing constraint. 9 data series : I ...
... Most of structural parameters are calibrated to match NZ data. The rest are estimated using Bayesian methods Sample period:1993 Q4 to 2013 Q3 before the LVR restriction was introduced. The estimated model does not have the borrowing constraint. 9 data series : I ...
Unemployment Rate
... rate merely compensates for inflation. The after-tax real interest rate falls, making saving less attractive. ...
... rate merely compensates for inflation. The after-tax real interest rate falls, making saving less attractive. ...
Macroeconomics/Northrop/Fall 2001/First Exam
... (a) State the law of comparative advantage. (b) In what good(s), if any, does B have an absolute advantage? (c) According to the model of comparative advantage, would trade be mutually beneficial for nations A and B? If yes, what should each country export? Show your work. If no, fully explain why n ...
... (a) State the law of comparative advantage. (b) In what good(s), if any, does B have an absolute advantage? (c) According to the model of comparative advantage, would trade be mutually beneficial for nations A and B? If yes, what should each country export? Show your work. If no, fully explain why n ...
Opportunity cost, E - James Green
... g) If the price floor is removed, why do we expect the market equilibrium price to return to its value in part (a)? Or, in other words, why is this an equilibrium in the first place? Try to explain as clearly as possibly why alternative prices cause market pressures that push in the direction of thi ...
... g) If the price floor is removed, why do we expect the market equilibrium price to return to its value in part (a)? Or, in other words, why is this an equilibrium in the first place? Try to explain as clearly as possibly why alternative prices cause market pressures that push in the direction of thi ...
Keynes’s Monetary Theory: A Different Jnterpretation Allan H. Meltzer
... Meltzer’s interpretation, despite its superficial plausibility, seems fundamentally wrong to me. For one thing, it attributes to Keynes the theory that equilibrium levels of output and employment are too low because the capital stock is too small, i.e., below its saturation level. In fact, however, ...
... Meltzer’s interpretation, despite its superficial plausibility, seems fundamentally wrong to me. For one thing, it attributes to Keynes the theory that equilibrium levels of output and employment are too low because the capital stock is too small, i.e., below its saturation level. In fact, however, ...
Phillips Curve
... The Short-Run Phillips Curve illustrates the Trade-off between Inflation and Unemployment (derived from what is happening to RGDP) that occurs as the AD curve traverses (either up or down) the UPWARD sloping (Intermediate) range of SRAS. ...
... The Short-Run Phillips Curve illustrates the Trade-off between Inflation and Unemployment (derived from what is happening to RGDP) that occurs as the AD curve traverses (either up or down) the UPWARD sloping (Intermediate) range of SRAS. ...
NBER WORKING PAPER SERIES NONLINEAR ADVENTURES AT THE ZERO LOWER BOUND
... The economy starts with a high discount factor that sends the nominal interest rate to zero and, in every period, there is a probability that the discount factor will move to its long run value and never change again. In the model with capital, the path for the discount factor (and hence, for the e ...
... The economy starts with a high discount factor that sends the nominal interest rate to zero and, in every period, there is a probability that the discount factor will move to its long run value and never change again. In the model with capital, the path for the discount factor (and hence, for the e ...
Balance Sheet Effects, Bailout Guarantees and Financial Crises (2004, Review of Economic Studies)
... government commits to a bailout, the manager can commit to pay lenders at least in states where he defaults and a bailout takes place. Guarantees thus permit more leverage. A self-fulfilling crisis occurs as follows. Suppose the price of N-goods falls. N-sector cash flow also falls and there are wid ...
... government commits to a bailout, the manager can commit to pay lenders at least in states where he defaults and a bailout takes place. Guarantees thus permit more leverage. A self-fulfilling crisis occurs as follows. Suppose the price of N-goods falls. N-sector cash flow also falls and there are wid ...
FRBSF E L CONOMIC ETTER
... Figure 1 plots productivity growth over the last 50 years based on calculations by the Bureau of Labor Statistics of multifactor productivity (MFP) for the nonfarm business sector, which “… measures the changes in output per unit of combined inputs.” Like most other such constructs, this measure ill ...
... Figure 1 plots productivity growth over the last 50 years based on calculations by the Bureau of Labor Statistics of multifactor productivity (MFP) for the nonfarm business sector, which “… measures the changes in output per unit of combined inputs.” Like most other such constructs, this measure ill ...
Exam Name___________________________________ 1
... 10) In national-income accounting, the value of intermediate products A) is counted as factor income in the calculation of GDP from the income side. B) must equal the value added by the firm. C) should be added to the value of other inputs in determining a firmʹs contribution to GDP. D) should alway ...
... 10) In national-income accounting, the value of intermediate products A) is counted as factor income in the calculation of GDP from the income side. B) must equal the value added by the firm. C) should be added to the value of other inputs in determining a firmʹs contribution to GDP. D) should alway ...
Diskussionspapiere Wirtschafts- und Sozialwissenschaftliches
... to only 0.6 % in 2001 and it has not recovered during the three years since then (see table 1). ...
... to only 0.6 % in 2001 and it has not recovered during the three years since then (see table 1). ...
Fall 2014 Module 16 Income and Expenditures (Multiplier)
... Luke Skywalker says, “All this investment gets stuck back in the circular flow and keeps making flowing around.” ...
... Luke Skywalker says, “All this investment gets stuck back in the circular flow and keeps making flowing around.” ...
How Potential GDP Grows
... All economies have access to the same technologies and capital is free to roam the globe, seeking the highest available real interest rate. These facts imply that economic growth rates and real GDP per person across economies will converge. Figure 23.3 shows some convergence among rich countries, bu ...
... All economies have access to the same technologies and capital is free to roam the globe, seeking the highest available real interest rate. These facts imply that economic growth rates and real GDP per person across economies will converge. Figure 23.3 shows some convergence among rich countries, bu ...
Post Walrasian Macroeconomics and IS/LM Analysis
... Currently, economists are a long way form any such analytic model. This means that Post Walrasian IS/LM analysis cannot be a simplification of a more complex analytic model with firm microfoundations. At this point, the most we can claim for it is that it is a reduced-form description of institution ...
... Currently, economists are a long way form any such analytic model. This means that Post Walrasian IS/LM analysis cannot be a simplification of a more complex analytic model with firm microfoundations. At this point, the most we can claim for it is that it is a reduced-form description of institution ...
Chapter 11
... • Between 1975 and 2001 fiscal policy was pretty much abandoned as a mechanism for controlling the economy. • Monetary policy was used to expand or contract prices and GDP. • In 2001, the impending recession motivated tax rebates and the Sept. 11 attacks motivated a variety of tax cut and spending i ...
... • Between 1975 and 2001 fiscal policy was pretty much abandoned as a mechanism for controlling the economy. • Monetary policy was used to expand or contract prices and GDP. • In 2001, the impending recession motivated tax rebates and the Sept. 11 attacks motivated a variety of tax cut and spending i ...
Chapter 19 The theory of effective demand
... In this and the following chapters the focus is shifted from long-run macroeconomics to short-run macroeconomics. The long-run models concentrated on factors that are important for the economic evolution over a time horizon of at least 10-15 years. With such a horizon it is the development on the su ...
... In this and the following chapters the focus is shifted from long-run macroeconomics to short-run macroeconomics. The long-run models concentrated on factors that are important for the economic evolution over a time horizon of at least 10-15 years. With such a horizon it is the development on the su ...
A Post–Keynesian Policy Model
... present a Kalecki–Kaldor model of a closed economy, then include a wage curve and mark–up equation, and lastly open the economy to trade. Before taking off, though, a couple of comments on scope and methodology are in order. First, both the Kaleckian and Kaldorian models are called growth models. Ho ...
... present a Kalecki–Kaldor model of a closed economy, then include a wage curve and mark–up equation, and lastly open the economy to trade. Before taking off, though, a couple of comments on scope and methodology are in order. First, both the Kaleckian and Kaldorian models are called growth models. Ho ...
A book-keeping analysis of a monetary economy
... equivalent drawing right over domestic output. It can in fact hardly be doubted today that bank deposits are the real good par excellence, since they define the monetary form in which total national product is held before final consumption takes place. The integration of money into the economy: a pr ...
... equivalent drawing right over domestic output. It can in fact hardly be doubted today that bank deposits are the real good par excellence, since they define the monetary form in which total national product is held before final consumption takes place. The integration of money into the economy: a pr ...