Metroeconomica最新文献

The paper examines the role of the interest rate as a conventional variable, influenced by political, institutional and structural factors, and in particular, by central bank's beliefs. To this aim, we develop a minimal model inspired in the New Consensus literature but aligned with the post Keynesian principles on output and income distribution. We show that these beliefs can exert their influence under quite general circumstances, compatible with alternative hypotheses about the connection between prices and quantities. The role of these beliefs is finally examined in an open economy framework.

The paper investigates the capacity of New Keynesian (NK) models to explain inflation persistence without relying on ad hoc backwards-looking mechanisms or external source of inertia. It explores various features of NK models– such as sticky wages, roundabout production structure, positive trend inflation, and monetary policy inertia– that could generate persistent inflation. The paper's main finding is that the interaction between sticky prices, sticky wages, intermediate input, real frictions and the Taylor rule, especially the inertial component of the rule, is particularly effective in generating highly serially correlated movements in inflation as observed in data.

This paper achieves a macroeconomic equilibrium which is microfounded on an oligopolistic entry deterrence game à la Dixit-Spence. This equilibrium has implications for pro-competitive policies which differ from those obtained by models based on a monopolistic competition framework: (i) positive effects on employment and real wage of a policy that increases the elasticity of demand persist in the long run; (ii) a reduction in the fixed entry cost has favorable effects on employment and real wage both in the short and in the long run; (iii) a mix of the two policies enhances their positive effects, asymptotically approaching competitive equilibrium.

We incorporate tax evasion to a demand-led macrodynamic model of capacity utilization and output growth rate. The frequency of tax evaders is endogenously time-varying, driven by imitation-augmented satisficing evolutionary dynamics involving pecuniary factors, as well as non-pecuniary elements which are reflected in the distribution of tax morale across taxpayers. Consequently, the microdiversity of tax compliance behavior and the macrodynamics of economic activity are co-evolutionarily coupled. Matching empirical evidence, heterogeneity in tax compliance behavior is a stable evolutionary equilibrium, and the higher the median tax morale across taxpayers, the lower the frequency of tax evaders. Other comparative statics results in line with empirical evidence are obtained analytically and through numerical simulations.

Rising wage inequality since the 1980s is well-documented, but cyclical dynamics are less explored. This study builds a Kaleckian model analyzing the link between aggregate demand (mediated by employment) and earnings inequality. The model features three classes: capitalists, production, and professional workers. The effect of inequality on demand depends on whether the economy is inequality-led. Findings show that policies raising lower-tier workers' income share reduce inequality and boost demand. Fiscal stimulus has ambiguous effects but tends to lower inequality in high-inequality economies. Employment policies favoring production workers can reduce inequality and increase demand, while their bargaining power strengthens aggregate demand.

This paper presents an approach to reconciling short-run business cycles with long-run growth in macroeconomic models. It addresses recent criticisms of supermultiplier models by developing a framework that combines investment-driven cycles with autonomous demand-led growth in the long run. The model builds on endogenous business cycle theories, incorporating a nonlinear accelerator mechanism and a dynamic multiplier to generate persistent cycles. By extending this canonical model to include growing autonomous demand, the paper demonstrates how persistent cyclical fluctuations in the rate of capacity utilization can coexist with a long-run growth trend in output determined by autonomous demand. This integration of short-run dynamics and long-run growth aims to bridge the gap between traditional business cycle theories and modern growth models, providing a unified trend-cum-cycle framework. The paper contributes to the ongoing debate on the role of autonomous components of aggregate demand in shaping economic outcomes and offers a framework for further research on the interplay between cyclical fluctuations and trend growth.

This work extends the basic analytical framework of macroeconomic growth to encompass the notion of social inclusion and to reduce the inconsistencies between growth and development. Specifically, we introduce the social and solidarity economy (SSE) into the macroeconomic debate on economic growth to acknowledge and making visible its contribution to total output increase, while working towards greater inclusion. Our analytical strategy relies on the discussion of four theoretical models. First, we illustrate a modified version of the Solow model; second, we introduce social inclusion as a labour-augmenting factor, and we illustrate how it triggers endogenous growth. Third, we modify a simplified model of endogenous growth by introducing among the arguments of the production function social inclusion as a labour-augmenting factor and by replacing the R&D with the SSE production function. Fourth, we introduce an encompassing growth model to identify the optimal mix of social inclusion and technological progress that may support endogenous growth. The added value of our research is twofold: (1) we lay the foundations for an alternative pattern of development that may fit well the initial conditions of a low resource economy lacking endogenous technological progress, and (2) we propose a logical framework to identify a continuum of trajectories of development, that is coherent with the diversity of initial conditions observed at country level.