This PDF is a selection from a published volume from... Bureau of Economic Research
... is specialized and, more generally, that the factors of production are not perfectly mobile across the sectors of the economy. Second, BP assume that financial markets are incomplete, so that households cannot insure against all possible disturbances. BP argue that these two assumptions are at the c ...
... is specialized and, more generally, that the factors of production are not perfectly mobile across the sectors of the economy. Second, BP assume that financial markets are incomplete, so that households cannot insure against all possible disturbances. BP argue that these two assumptions are at the c ...
Economics Assessment Bank
... technology) and human capital (e.g., education) play in increasing productivity and how these influence the market. 1. An entrepreneur is considering spending money on research to develop an efficient way to increase productivity. What is the most important decision on whether or not to spend this m ...
... technology) and human capital (e.g., education) play in increasing productivity and how these influence the market. 1. An entrepreneur is considering spending money on research to develop an efficient way to increase productivity. What is the most important decision on whether or not to spend this m ...
James Tobin - Prize Lecture
... exogenous variables, qualitative and quantitative, these models sacrifice detail and generality, limiting the number of variables and equations by aggregations over agents, commodities, assets, and time. Theoretical macro-economic models of one brand or another are very influential. They guide the a ...
... exogenous variables, qualitative and quantitative, these models sacrifice detail and generality, limiting the number of variables and equations by aggregations over agents, commodities, assets, and time. Theoretical macro-economic models of one brand or another are very influential. They guide the a ...
Price Level - Dpatterson
... following events. Explain whether it represents a movement along the aggregate demand curve (up or down) or a shift of the curve (leftward or rightward). Then, in a correctly labeled graph, show how each of the following will affect the AD curve. a. Business owners are less optimistic about the heal ...
... following events. Explain whether it represents a movement along the aggregate demand curve (up or down) or a shift of the curve (leftward or rightward). Then, in a correctly labeled graph, show how each of the following will affect the AD curve. a. Business owners are less optimistic about the heal ...
Booms and banking crises - Bank for International Settlements
... (2005) and Mendoza (2010), we find that when agents are highly leveraged then even standard (mild) negative productivity shocks may trigger crises (in their case, capital flow reversals) and severe recessions. One important difference with sudden stops models, though, is that they typically consider ...
... (2005) and Mendoza (2010), we find that when agents are highly leveraged then even standard (mild) negative productivity shocks may trigger crises (in their case, capital flow reversals) and severe recessions. One important difference with sudden stops models, though, is that they typically consider ...
This PDF is a selection from an out-of-print volume from... of Economic Research
... pansionary effects of the expenditure switching a devaluation is intended to achieve. In this paper I first outline several mechanisms, substantially more likely to be of importance in less developed countries (LDCs) than elsewhere, through which a devaluation has a direct negative impact on aggrega ...
... pansionary effects of the expenditure switching a devaluation is intended to achieve. In this paper I first outline several mechanisms, substantially more likely to be of importance in less developed countries (LDCs) than elsewhere, through which a devaluation has a direct negative impact on aggrega ...
67051073I_en.pdf
... The closure of almost the entire State development banking system, which played an important part in the loan and deposit markets, should also be included among the main reforms made in this period.14 It is interesting to compare the model imposed by Odría with that applied four decades later by Fuj ...
... The closure of almost the entire State development banking system, which played an important part in the loan and deposit markets, should also be included among the main reforms made in this period.14 It is interesting to compare the model imposed by Odría with that applied four decades later by Fuj ...
Okun`s Law across the Business Cycle and during the Great
... unemployment over the Great Recession and labor market conditions since can be attributed to fluctuations in aggregate demand. We further ask whether this time things were different? That is, was the increase in unemployment during the Great Recession different from that observed in other recessions ...
... unemployment over the Great Recession and labor market conditions since can be attributed to fluctuations in aggregate demand. We further ask whether this time things were different? That is, was the increase in unemployment during the Great Recession different from that observed in other recessions ...
THE CORRELATION BETWEEN UNEMPLOYMENT AND REAL
... budget deficits are detrimental for economic growth in the long time because they reduce national saving and lower output. As a conclusion, a higher saving rate induces a larger output on the long run. But there is only one value for the steady state capital stock that also maximizes consumption. Th ...
... budget deficits are detrimental for economic growth in the long time because they reduce national saving and lower output. As a conclusion, a higher saving rate induces a larger output on the long run. But there is only one value for the steady state capital stock that also maximizes consumption. Th ...
Responses of Inflation and Output to Shocks in
... Settlement has attempted to improve existing DSGE models to use for policy analysis by developing a stylized model of the banking sector.They found that in the presence of financial frictions, aggressive interest rate cuts are required to offset adverse financial shock which helped DSGE models to be ...
... Settlement has attempted to improve existing DSGE models to use for policy analysis by developing a stylized model of the banking sector.They found that in the presence of financial frictions, aggressive interest rate cuts are required to offset adverse financial shock which helped DSGE models to be ...
mmi03-westermann 223302 en
... is not significantly correlated with either aggregate GDP growth or consumption. These comovements and the boom-bust cycle are not observed in counties with developed financial markets like the US. How can we explain them? We argue that they are generated by the interaction of two characteristics of ...
... is not significantly correlated with either aggregate GDP growth or consumption. These comovements and the boom-bust cycle are not observed in counties with developed financial markets like the US. How can we explain them? We argue that they are generated by the interaction of two characteristics of ...
2.3 Macroeconomic Objectives
... The Natural Rate of Unemployment (NRU): An economy producing at its full employment level is expected to have only frictional and structural unemployment. If an economy has cyclical unemployment, it is in a recession and producing below its full employment output level. ...
... The Natural Rate of Unemployment (NRU): An economy producing at its full employment level is expected to have only frictional and structural unemployment. If an economy has cyclical unemployment, it is in a recession and producing below its full employment output level. ...
Countries can only grow fast if their exports grow fast
... As seen, labour costs are growing slower than the RPI, and there is significant correlation between the changes in UL costs (ult-ult-1)/ult and changes in RPI. Furthermore, the changes in UL tended to precede changes in RPI until 1980-s, and after that they lagged behind. This suggests that cost-pus ...
... As seen, labour costs are growing slower than the RPI, and there is significant correlation between the changes in UL costs (ult-ult-1)/ult and changes in RPI. Furthermore, the changes in UL tended to precede changes in RPI until 1980-s, and after that they lagged behind. This suggests that cost-pus ...
Macro Economics - e
... b) Fiscal policy : Fiscal policy is the policies of the government expenditure and its revenue. As Keynes believes that expenditure is the causing factor of inflation. When such expenditures are reduced, aggregate demand will be reduced and ultimately it helps to curb inflation in the economy. The o ...
... b) Fiscal policy : Fiscal policy is the policies of the government expenditure and its revenue. As Keynes believes that expenditure is the causing factor of inflation. When such expenditures are reduced, aggregate demand will be reduced and ultimately it helps to curb inflation in the economy. The o ...
ROMANIA'S REAL CONVERGENCE TO THE EUROPEAN UNION
... the developments in other countries or country groups. If progress is defined by average annual growth rate of Romania GDP per capita and analyzed in relation to other countries or groups of countries we observe that the convergence of Romania is not only very difficult to achieve, but becomes almos ...
... the developments in other countries or country groups. If progress is defined by average annual growth rate of Romania GDP per capita and analyzed in relation to other countries or groups of countries we observe that the convergence of Romania is not only very difficult to achieve, but becomes almos ...
Mankiw 6e PowerPoints
... the time it takes for policy to affect economy. If conditions change before policy’s impact is felt, the policy may destabilize the economy. CHAPTER 15 ...
... the time it takes for policy to affect economy. If conditions change before policy’s impact is felt, the policy may destabilize the economy. CHAPTER 15 ...
8 AM – May 17 th , 2012 AP Macroeconomics Test
... taxes to drop below govt. expenditures Taxes Surplus – Economy booms, causes taxes to increase above govt spending ...
... taxes to drop below govt. expenditures Taxes Surplus – Economy booms, causes taxes to increase above govt spending ...
Ragan_13ce_ch19_ch29Review
... unused capacity, unit costs rise with output (Marginal Costs generally increases as output increases) firms will produce more output only if prices increase. The AS curve is therefore upward sloping (except at very levels of output). AS1 ...
... unused capacity, unit costs rise with output (Marginal Costs generally increases as output increases) firms will produce more output only if prices increase. The AS curve is therefore upward sloping (except at very levels of output). AS1 ...
The Demand for Money - Spears School of Business
... The institutions and technology in the economy ...
... The institutions and technology in the economy ...
Inflation and Unemployment
... market basket, consumers buy less of these products and more substitutes that may not be part of the market basket. (Result: CPI may be higher than what consumers are really paying) 2. New Products- The CPI market basket may not include the newest consumer products. (Result: CPI measures prices but ...
... market basket, consumers buy less of these products and more substitutes that may not be part of the market basket. (Result: CPI may be higher than what consumers are really paying) 2. New Products- The CPI market basket may not include the newest consumer products. (Result: CPI measures prices but ...
Final Exam Review Questions and Answers. Lecture Week 4 (6
... Seasonal unemployment: Unemployment caused by seasonal changes in labor demand during the year. Cyclical unemployment: It occurs because of business cycle fluctuations in output that occurs during recessions. ...
... Seasonal unemployment: Unemployment caused by seasonal changes in labor demand during the year. Cyclical unemployment: It occurs because of business cycle fluctuations in output that occurs during recessions. ...
PDF - unu-wider - United Nations University
... economic growth and understand why some countries have generated economic miracles. New structural economics, as depicted by Lin (2011, 2012a), can be characterized by three principles: (i) each country at a given time has a certain comparative advantage defined by the evolving potential of its endo ...
... economic growth and understand why some countries have generated economic miracles. New structural economics, as depicted by Lin (2011, 2012a), can be characterized by three principles: (i) each country at a given time has a certain comparative advantage defined by the evolving potential of its endo ...