-
作者：Smith, Katherine A.
作者单位：United States Department of Defense; United States Navy; United States Naval Academy
摘要：General Equilibrium asset pricing models have a difficult time simultaneously delivering a sizable equity premium, a low and counter cyclical real risk free rate, and cyclical variation in return volatility. To explain these stylized facts, this article introduces occasionally binding financing constraints that impede producers' ability to invest. The financial frictions drive a wedge between the marginal rate of substitution and firms' internal stochastic discount factors so that the shadow v...
-
作者：Carriero, Andrea
作者单位：University of London
摘要：I propose a strategy for forecasting the term structure of interest rates that may produce significant gains in predictive accuracy. The key idea is to use the restrictions implied by Gaussian, no-arbitrage, affine term structure models on a vector autoregression as prior information instead of imposing the restrictions dogmatically. This allows us to account for possible model misspecification. We use the proposed method to forecast a system of five U.S. yields up to 12 months ahead, and we f...
-
作者：Runkel, Marco; Schjelderup, Guttorm
作者单位：Technical University of Berlin
摘要：This paper investigates the choice of apportionment factors under a corporate tax system of Formula Apportionment. In contrast to perceived wisdom, we show that the apportionment formula contains both mobile (capital) and immobile (labor) factors, regardless of whether the formula is determined decentrally by jurisdictions or centrally by a central planner. The central planner uses the formula as a corrective instrument to internalize fiscal externalities. We calibrate the model to the Europea...
-
作者：Jorda, Oscar; Kozicki, Sharon
作者单位：University of California System; University of California Davis; Bank of Canada
摘要：The stability of the solution path in a macroeconomic model implies that it admits a Wold representation. This Wold representation can be estimated semi-parametrically by local projections and used to estimate the model's parameters by minimum distance techniques even when the stochastic process for the solution path is unknown or unconventional. We name this two-step estimation procedure projection minimum distance and investigate its statistical properties for the broad class of models where...
-
作者：Herrendorf, Berthold; Teixeira, Arilton
作者单位：Arizona State University; Arizona State University-Tempe; FUCAPE Business School
摘要：We ask whether barriers to entry are a quantitatively important reason for the income gap between developing countries and the United States. We develop a tractable general equilibrium model that captures the effects of barriers to entry and the other main distortions typically considered in the development literature. We carry our model to the data and ask it to match the main development facts from the Penn World Table. We find that this requires large barriers to entry in developing countri...
-
作者：Galenianos, Manolis; Kircher, Philipp; Virag, Gabor
作者单位：Pennsylvania Commonwealth System of Higher Education (PCSHE); Pennsylvania State University; Pennsylvania State University - University Park; University of Oxford; University of Rochester
摘要：We build a theoretical model to study the welfare effects and policy implications of firms' market power in a frictional labor market. The main characteristics of our environment are that wages play a role in allocating labor across firms and the number of agents is finite. The decentralized equilibrium is inefficient and the firms' market power results in the misallocation of workers from the high to the low productivity firms. A minimum wage exacerbates the inefficiencies by forcing the low-...
-
作者：Choi, Seung Mo
作者单位：Washington State University
摘要：The quantitative features of human capital externalities are not fully understood. Although static externalities are estimated in some studies, learning externalities remain mostly unestimated. By calibrating a growth model, this article provides an estimate of learning externalities. The calibration uses an equilibrium condition that equates private returns on physical capital and human capital. The results suggest that sizable learning externalities exist, even in a conservative setup. The e...
-
作者：Gutierrez-i-Puigarnau, Eva; Van Ommeren, Jos N.
作者单位：Vrije Universiteit Amsterdam
摘要：In Europe, many employees receive company cars as fringe benefits induced by taxation. We analyze the welfare effects of company car taxation for the Netherlands by estimating to what extent car expenditure and private car travel change when employees receive a company car. Tax treatment of company cars generates an annual welfare loss, ranging from (sic)600 to (sic)780 per company car, mainly due to a shift toward more expensive cars (from (sic)420 to (sic)600), but also due to increased priv...
-
作者：Buchheit, Steve; Feltovich, Nick
作者单位：University of Aberdeen; Texas Tech University System; Texas Tech University
摘要：We experimentally test the effect of sunk costs on decision making. In the experiment, subjects play the role of price-setting duopolists. Both firms have identical costs, including an exogenous sunk cost that varies across sessions over six different values. We observe that the sunk cost has a U-shaped effect: From low to medium levels, average prices decrease, but from medium to high levels, average prices increase. This effect, which is consistent with loss avoidance, develops quickly and p...
-
作者：Dressler, Scott J.
作者单位：Villanova University
摘要：This article examines an environment where money is essential and agents exchange in perfectly competitive, Walrasian markets. Agents consume and produce a homogeneous good, but hold money to purchase consumption in the event of a relatively low productivity shock. A Walrasian market delivers a nondegenerate distribution of money holdings across agents and avoids some of the computational difficulties associated with the market assumption of bilateral bargaining common to search-theoretic envi...
