Showing papers on "Golden Rule (fiscal policy) published in 1983"
TL;DR: In this paper, Gale's theorem on the existence of balanced equilibria in a consumption loan model with many generations was generalized to allow more general preferences, and it was shown that there are plausible conditions under which there exists a Pareto optimal (non-optimal) balanced equilibrium whenever there exists (does not exist) a monetary golden rule equilibrium.
11 citations
TL;DR: The Golden Rule appears in two versions, the negative version viewed by Confucius as a moral prescription and the positive one viewed by Jesus as a religious prescription as mentioned in this paper, and students in a sixth grade classroom in an American public school studied both versions, exploring the fundamental issues underlying them.
Abstract: The Golden Rule appears in two versions, the negative one viewed by Confucius as a moral prescription and the positive one viewed by Jesus as a religious prescription. Students in a sixth grade classroom in an American public school studied both versions, exploring the fundamental issues underlying them. After reviewing their investigation of the question, ‘How do I follow the Golden Rule, either in its positive or negative version?’, considerations follow regarding the different approaches to another question, ‘Should I follow the Golden Rule, either in its positive or negative version?’, within the context of a moral or a religious education programme.
5 citations
01 Jan 1983
TL;DR: In this article, the authors consider the behaviour of the system when it is shocked out of its "golden rule" path by the sudden imposition of a constraint on the volume of imports of the resource, while the relative price of the resources grows at a rate determined exogenously.
Abstract: We consider a vintage model in which an economy combines labour, capital and an imported resource (raw material) to produce a single manufactured good. The purpose of this chapter is to study the behaviour of the system when it is shocked out of its ‘golden rule’ path by the sudden imposition of a constraint on the volume of imports of the resource, while the relative price of the resource grows at a rate determined exogenously. A ‘capitalist’ and a ‘socialist’ solution are presented. The capitalist solution retains the constraint that the wage rate is equal to labour productivity on the oldest vintage in use. The socialist solution chooses the path on which consumption per capita is maximised and then examines various policies such that all of the labour force is employed.
3 citations
Journal Article•
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3 citations