Journal ArticleDOI
Production, growth and business cycles: I. The basic neoclassical model
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In this paper, the authors present the neoclassical model of capital accumulation augmented by choice of labor supply as the basic framework of modern real business cycle analysis and explore the implications of the basic model for perfect foresight capital accumulation and for economic fluctuations initiated by impulses to technology.About:
This article is published in Journal of Monetary Economics.The article was published on 1988-03-01. It has received 1945 citations till now. The article focuses on the topics: Capital accumulation & Real business-cycle theory.read more
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An East Asian currency union?: The empirical nature of macroeconomic shocks in East Asia
TL;DR: Using three alternative but largely complementary vector autoregression models, the authors provides a set of further and alternative evidence on macroeconomic shocks across ASEAN plus China, Japan and Korea.
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Human Capital and International Real Business Cycles
TL;DR: The authors simulated a two-country, two-sector stochastic endogenous growth model that embodies an externality linking human capital across countries, which is able to reproduce positive international correlations for all the main variables and is partially able to replicate their ranking.
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Changes in the Output Euler Equation and Asset Markets Participation
TL;DR: The authors showed that the elasticity of aggregate demand to interest rates in the United States is not significantly different from zero, and argued that this result may hide a structural break: the estimated elasticity is a convolution of two coefficients with opposite signs across the samples 1965-1979 and 1982-2003.
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Using stochastic growth models to understand unit roots and breaking trends
TL;DR: In this article, the authors provide economic underpinnings for some recent econometric models of unit roots and breaking trends, and show that in an endogenous growth model, difference stationarity is present in every growing variable; and this phenomenon is generated by the propagation mechanism of the model.
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On indeterminacy in one-sector models of the business cycle with factor-generated externalities
Qinglai Meng,Chong K. Yip +1 more
TL;DR: In this paper, the authors relax the restrictions commonly imposed on the magnitude of capital externalities in one-sector models with Cobb-Douglas technology and show that indeterminacy can arise in the following two cases: (i) the felicity function is separable in consumption and leisure; (ii) the social elasticity of production with respect to capital is greater than one.
References
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Journal ArticleDOI
Co-integration and Error Correction: Representation, Estimation and Testing
TL;DR: The relationship between co-integration and error correction models, first suggested in Granger (1981), is here extended and used to develop estimation procedures, tests, and empirical examples.
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Distribution of the Estimators for Autoregressive Time Series with a Unit Root
David A. Dickey,Wayne A. Fuller +1 more
TL;DR: In this article, the limit distributions of the estimator of p and of the regression t test are derived under the assumption that p = ± 1, where p is a fixed constant and t is a sequence of independent normal random variables.
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A Contribution to the Theory of Economic Growth
TL;DR: In this paper, a model of long run growth is proposed and examples of possible growth patterns are given. But the model does not consider the long run of the economy and does not take into account the characteristics of interest and wage rates.
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Increasing Returns and Long-Run Growth
TL;DR: In this paper, the authors present a fully specified model of long-run growth in which knowledge is assumed to be an input in production that has increasing marginal productivity, which is essentially a competitive equilibrium model with endogenous technological change.
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On the mechanics of economic development
TL;DR: In this article, the authors consider the prospects for constructing a neoclassical theory of growth and international trade that is consistent with some of the main features of economic development, and compare three models and compared to evidence.