The market value of U.S. corporations was nearly halved following the oil crisis of October 1973. Real energy prices more than doubled by the end of the decade, increasing energy costs and spurring innovation in energy-saving technologies by corporations. This paper uses a neo-classical growth...

This paper assesses whether a causal relationship exists between recent increases in female labor force participation and the increased prevalence of obesity amongst women. The expansions of the Earned Income Tax Credit (EITC) in the 1980s and 1990s have been established by prior literature as...

In this paper we present a recursive method for the computation of dynamic competitive equilibria in models with heterogeneous agents and market frictions. This method is based on a convergent operator over an expanded set of state variables. The fixed point of this operator defines the set of...

In this paper we revisit the connection between changes in interest rates, loan-to-value ratios and expectations in inaÌuencing housing prices. We construct a two good general equilibrium model in which housing is a composite good produced using structures and land. We show that changes in...

equilibria in models with heterogeneous agents and market frictions. This method is based upon a convergent operator over an expanded set of state variables. The fixed point of this operator defines the set of all Markovian equilibria. We study approximation properties of the operator as well as...

Recessions typically bring about expansions in government expenditures. More important, when a strong sector-specific negative shock coincides with the onset of the recession, it is commonly argued that a government ``stimulus" may be beneficial. The logical argument is as follows: resources are...

Poor countries devote the largest fraction of their labor force to agriculture, which is also their least productive sector. This turns out to be key for understanding cross-country disparities in per capita incomes. A large and active literature aims at finding the causes behind these facts....

Changes in wealth, according to our simple calculations, can account for almost all of the observed consumption fluctuations of the past two decades.

A GIIPS crisis wouldn't have too strong an effect on the U.S. economy, but an EU-wide crisis may be a serious concern.