Constraints on credit, consumer behaviour and the dynamics of wealth

This note develops a simple macro model where the pattern of wealth accumulation is determined by a credit multiplier and by the way households react to short run fluctuations. In this setup, long term wealth dynamics are eventually characterized by the presence of endogenous cycles.

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Year of publication:	2007-01
Authors:	Gomes, Orlando
Institutions:	Volkswirtschaftliche Fakultät, Ludwig-Maximilians-Universität München
Subject:	Credit constraints \| Financial development \| Consumer confidence \| Endogenous business cycles \| Nonlinear dynamics

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Extent:	application/pdf
Series:	MPRA Paper.
Type of publication:	Book / Working Paper
Classification:	C61 - Optimization Techniques; Programming Models; Dynamic Analysis ; O41 - One, Two, and Multisector Growth Models ; E32 - Business Fluctuations; Cycles
Source:	RePEc - Research Papers in Economics

Persistent link: https://www.econbiz.de/10005790095