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作者：Stockman, David R.
作者单位：University of Delaware
摘要：Schmitt-Grohe and Uribe [11] illustrate that a balanced-budget rule can lead to aggregate instability. In particular, under such a rule it is possible for a steady state to be locally indeterminate, and therefore sunspot equilibria are possible. In this paper, I extend their analysis to investigate the possibility of chaotic equilibria under a balanced-budget rule. A global analysis reveals Euler equation branching which means that the dynamics going forward are generated by a differential inc...
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作者：Araujo, Aloisio; Moreira, Humberto
作者单位：Getulio Vargas Foundation; Instituto Nacional de Matematica Pura e Aplicada (IMPA)
摘要：This paper studies a class of one-dimensional screening problems where the agent's utility function does not satisfy the Spence-Mirrlees condition (SMC). The strength of the SMC for hidden information problems is to provide a full characterization of implementable contracts using only the local incentive compatibility (IC) constraints. These constraints are equivalent to the monotonicity of the decision variable with respect to the agent's unobservable one-dimensional parameter. When the SMC i...
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作者：Abraham, Arpad; Carceles-Poveda, Eva
作者单位：European University Institute; State University of New York (SUNY) System; Stony Brook University
摘要：This paper endogenizes the borrowing constraints on capital in a production economy with incomplete markets. We find that these limits get looser with income, a property that is consistent with US data on credit limits. The framework with endogenous limits is then used to study the effects of a revenue neutral tax reform that eliminates capital income taxes. Our results illustrate that it is very important to take into account the effects of tax policies on the limits. Throughout the transitio...
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作者：Bodenstein, Martin
作者单位：Federal Reserve System - USA
摘要：The empirical literature provides a wide range of estimates for trade elasticities at the aggregate level. Recent contributions in international macroeconomics suggest that low (implied) values of the trade elasticity may play an important role in understanding the disconnect between international prices and real variables. However, a standard model of the international business cycle displays multiple locally isolated equilibria if the trade is sufficiently low. The main contribution of this ...
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作者：Blumrosen, Liad; Nisan, Noam
作者单位：Hebrew University of Jerusalem; Hebrew University of Jerusalem
摘要：We study the inherent limitations of natural widely-used classes of ascending combinatorial auctions. Specifically, we show that ascending combinatorial auctions that do not use both non-linear prices and personalized prices cannot achieve social efficiency with general bidder valuations. We also show that the loss of efficiency can be severe and that only a diminishing fraction of the social welfare may be captured. This justifies the added complexity in the auctions suggested by, e.g., Parke...
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作者：Debortoli, Davide; Nunes, Ricardo
作者单位：University of California System; University of California San Diego
摘要：Due to time-inconsistency or political turnover, policymakers' promises are not always fulfilled. We analyze an optimal fiscal policy problem where the plans made by the benevolent government are periodically revised. In this loose commitment setting, the properties of labor and capital income taxes are significantly different than under the full-commitment and no-commitment assumptions. Because of the occasional reoptimizations, the average capital income tax is positive even in the long-run....
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作者：Martins-da-Rocha, V. Filipe; Riedel, Frank
作者单位：University of Bielefeld; Getulio Vargas Foundation
摘要：State prices are the fundamental building block for dynamic asset pricing models. We provide here a general continuous-time setup that allows to derive non-trivial structural properties for state-prices from economic fundamentals. To this end, we combine general equilibrium theory and theorie generale of stochastic processes to characterize state prices that lead to continuous price systems on the consumption set. We also show that equilibria with such state prices exist. (C) 2010 Elsevier Inc...
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作者：Arellano, Cristina; Heathcote, Jonathan
作者单位：Federal Reserve System - USA; Federal Reserve Bank - Minneapolis; University of Minnesota System; University of Minnesota Twin Cities; National Bureau of Economic Research; Centre for Economic Policy Research - UK
摘要：How does a country's exchange rate regime impact its ability to borrow from abroad? We build a small open economy model in which the government responds to shocks by adjusting monetary policy and foreign borrowing. Sovereign borrowing is subject to endogenous limits, which ensure repayment when the default punishment corresponds to financial autarky. Dollarizing implies renouncing monetary policy, but can make access to international debt markets more valuable, thereby loosening borrowing cons...
