Journal ArticleDOI
R&D, growth, and macroprudential policy in an economy undergoing boom-bust cycles
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This article incorporated Schumpeterian endogenous growth into a DSGE model with credit-constrained entrepreneurs to show how shocks affecting firms' access to credit can generate boom-bust cycles featuring large fluctuations in land prices, consumption, and investment.About:
This article is published in Journal of Macroeconomics.The article was published on 2019-03-01. It has received 1 citations till now. The article focuses on the topics: Endogenous growth theory & Investment (macroeconomics).read more
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Leveraged borrowing and boom-bust cycles
Patrick A. Pintus,Yi Wen,Yi Wen +2 more
TL;DR: In this article, the authors show that dynamic interactions between leveraged borrowing and persistent asset demand can generate a multiplier-accelerator mechanism that transforms a one-time technological innovation into large and longlasting boom-bust cycles.
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ReportDOI
Endogenous Technological Change
TL;DR: In this paper, the authors show that the stock of human capital determines the rate of growth, that too little human capital is devoted to research in equilibrium, that integration into world markets will increase growth rates, and that having a large population is not sufficient to generate growth.
Journal ArticleDOI
Competing technologies, increasing returns, and lock-in by historical events*
TL;DR: In this article, the authors explore the dynamics of allocation under increasing returns in a context where increasing returns arise naturally: agents choosing between technologies competing for adoption, and examine how these influence selection of the outcome.
Journal ArticleDOI
Substitution, Risk Aversion, and the Temporal Behavior of Consumption and Asset Returns: A Theoretical Framework
Larry G. Epstein,Stanley E. Zin +1 more
TL;DR: In this paper, a class of recursive, but not necessarily expected utility, preferences over intertemporal consumption lotteries is developed, which allows risk attitudes to be disentangled from the degree of inter-temporal substitutability, leading to a model of asset returns in which appropriate versions of both the atemporal CAPM and the inter-time consumption-CAPM are nested as special cases.
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Endogenous Growth Theory
Philippe Aghion,Peter Howitt +1 more
TL;DR: Aghion and Howitt make use of Schumpeter's concept of creative destruction, the competitive process whereby entrepreneurs constantly seek new ideas that will render their rivals' ideas obsolete as discussed by the authors.
Journal ArticleDOI
House Prices, Borrowing Constraints, and Monetary Policy in the Business Cycle
TL;DR: This paper developed a general equilibrium model with sticky prices, credit constraints, nominal loans and asset prices, and found that monetary policy should not target asset prices as a means of reducing output and inflation volatility.