[PDF] Top 20 Fiscal policy and indeterminacy in models of endogenous growth

... one-sector growth models fail to account for the wide variation in observed cross-country growth rates because they do not endogenize the accumulation of labor augmenting ...steady-state ... See full document

... nding indeterminacy conditions, we put more emphasis on the role of preference structure rather than on that of production ...two-sector endogenous growth models à la Lucas (1988, ...then ... See full document

... local indeterminacy and multiple converging balanced growth paths have been a major concern of the literature dealing with two- sector endogenous growth ...balanced growth path and show ... See full document

... …nding indeterminacy conditions, we put more emphasis on the role of preference structure rather than on that of production technolo- ...two-sector endogenous growth models à la Lucas (1988 ... See full document

... Economic growth is one of the most important determinants of economic ...of fiscal policy in stimulating growth is poorly ...neoclassical growth model, the pace of growth in ... See full document

... scal policy effects in a Lucas-type endogenous growth model with home ...human-capital-based endogenous growth models without home production, short-run as well as long-run ... See full document

... equilibria, indeterminacy of equilibria and even the emergence of periodic solutions) has been shown for the market solution of the Lucas model when externalities from human capital are ... See full document

... global indeterminacy occurs, public intervention becomes not sufficient to drive the economy towards a unique long-run steady state, even if the equilibrium is locally ...balanced growth path with active ... See full document

... and fiscal policies on long-run economic growth is an open issue of macroeconomic ...monetary policy, most of standard “neoclassical” exogenous growth models conclude to some neutrality ... See full document

... government fiscal policy in a discrete-time one-sector growth model with a productive externality that generates so- cial increasing returns to ...local indeterminacy, we show that the ... See full document

... of fiscal policy runs completely opposite to the effect of rule-of-thumb consumption, since the latter generates a positive correlation between real wages and aggregate ...of models, is associated to ... See full document

... output growth (Schmitt-Grohe and Uribe, 1997). Although endogenous consumption taxes are preferred in such a setting because they reduce the range of parameters leading to an indeterminate steady state and ... See full document

... In the more realistic managed debt case, when only government spending varies, the relevant correlations are only somewhat lower than those produced by standard RBC models (see column 6, Table 4). The positive ... See full document

... affecting growth: a stock of public debt, which subtracts resources from physical capital accumulation (crowding out effect), and a social security system which transfers resources from the young to the old ...of ... See full document

... The open economy extension of Ramsey’s model is characterised by external position indeterminacy. This is due to the fact that the representative agent has fixed time preference. Authors like Obstfeld (1980, 1981, ... See full document

... three models: in some areas there will be harmonization, in others surveillance and peer pressure, and in still others, some elements of fiscal ...of fiscal policy in the euro area will ... See full document

... in fiscal variables included in the ...economic growth and the critical value of the F-test through an omitted variables and correlation test (Table ...empirical models of FP may suffer from bias ... See full document

... For any meaningful long-run relationship to exist between non-stationary series, it is important that some linear combination of the series must be co-integrated. The most popular and widely used methods in recent past ... See full document

... standardised models. Endogenous growth models constitute decisive factor for the development of theoretical discoveries and in the tourism ...tourism policy for public ...various ... See full document

... on models of endogenous growth with expanding variety (Romer (1990) and Grossman and Helpman (1991)), the literature distinguishes two ...promotes growth if the environmental tax rate is low ... See full document