Purpose – This paper aims to reconcile conflicting findings in the literature regarding the extent of consumption smoothing of sub-federal governments. Design/methodology/approach – This paper uses a panel of US state and local government data from 1973 to 2000 to find the extent of...

Purpose – This paper aims to reconcile conflicting findings in the literature regarding the extent of consumption smoothing of sub-federal governments. Design/methodology/approach – This paper uses a panel of US state and local government data from 1973 to 2000 to find the extent of...

In this paper, we present a model of a one parent–one child household where parental decisions on labor supply, leisure, and the demand for private and public child care are simultaneously endogenized and intertemporally determined. We characterize the path of the optimal decisions and...

In this paper a two country new open economy macroeconomics model is applied to analyze both the short-run and the steady state macroeconomic effects of protection. Similar to the traditional Mundell Fleming approach we find that the imposition of a permanent tariff entails a demand diversion...

This paper develops an econometric model of private investment for Mexico to perform forecasts on this variable.

We provide a continuum of subsidy rules based on a performance indicator that induce a monopoly to choose the socially optimal production level. These subsidy rules result in a reduction of the amount of subsidy paid to the monopolist compared to the standard case where a constant subsidy rate...

In this paper, we first present and discuss the basic logic underlying all neoclassical economic theories of “optimal” energy supply: maximization of the present value of some stream of economic returns. We then discuss how the economic theory of optimal resource depletion has evolved since...