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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ReportDOI
R&D Spending and Cyclical Fluctuations: Putting the 'Technology' in Technology Shocks
Alison Butler,Michael R. Pakko +1 more
TL;DR: In this paper, the authors examine the dynamic properties of an endogenous growth model with an explicit R&D sector in order to evaluate its ability to propagate temporary disturbances into persistent fluctuations in macroeconomic variables, and demonstrate that a large proportion of the variability and persistence of measured Solow residuals can be thought of as reflecting the endogenous accumulation and adaptation of technical knowledge rather than simply exogenous processes.
BookDOI
Raising Revenue with Transaction Taxes in Latin America - Or Is It Better to Tax with the Devil You Know?
Rodrigo Suescun,Rodrigo Suescun +1 more
TL;DR: Suescun as discussed by the authors constructs a dynamic general equilibrium model to assess the size of distortions and other quantitative implications associated with a transaction tax and finds that, contrary to existing evidence and conventional wisdom, transaction tax is not a particularly burdensome levy in terms of economic growth and efficiency costs.
OtherDOI
Calibration and simulation of DSGE models
Paul Gomme,Damba Lkhagvasuren +1 more
TL;DR: Calibration is an effective tool for imposing discipline on the choice of parameter values that arise in such models, taking what would otherwise be a numerical example into the realm of an empirically relevant exercise with parameters tightly pinned.
Journal ArticleDOI
Productivity, taxes, and hours worked in Spain: 1970–2015
TL;DR: In this paper, the authors find that 80% of the decline in hours worked can be accounted for by the evolution of taxes in an otherwise standard neoclassical growth model, and that the lack of productivity growth in Spain during 1994-2015 has little impact on the model's prediction for hours worked.
Journal ArticleDOI
Real Wages, Business Cycles and New Production Patterns
TL;DR: In contrast with most conventional business cycle models, empirical data show no clear correlation between real wage movements and output and employment as mentioned in this paper, which suggests that the speed and magnitude by which technological "shocks" spread throughout the economy determine whether the resulting changes in real wages will be pro-or counter-cyclical.
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.
Journal ArticleDOI
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.
Journal ArticleDOI
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.
Journal ArticleDOI
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.