, but also generate endogenous business cycles driven primarily by the cyclical utilization rate of credit resources, as … long conjectured by the Austrian school of the business cycle. In particular, we show that credit search can lead to …

. This paper provides yet another case when first-order methods may be inadequate for capturing the business cycle properties … induce asymmetric business cycles and nonlinear income effects that are not fully captured by linear approximation methods …

the two anomalies of aggregate consumption behaviors. Ironically, the real-business-cycle (RBC) literature has long … Control Model The control model is a standard and perhaps the simplest version of the real-business-cycle (RBC) model of ….00 0.58 Third and most importantly, the model predicts two of the most well-known stylized facts of the business cycle …

greatly amplify but also propagate the business cycle. That is, the incentive to accumulate inventories under the cost … the (S,s) rule) does not increase the variance of aggregate output. Keywords: Inventories, Accelerator, Business Cycle … to its importance in business �uctuations, inventory investment must be the most under- researched aspect of …