"The macroeconomic development of most major industrial economies is characterised by boom-bust cycles. Normally such boom-bust cycles are driven by specific sectors of the economy. In the financial meltdown of the years 2007-2009 it was the credit sector and the real-estate sector that were the...

Financial Markets and the Macroeconomy A Keynesian perspective Carl Chiarella, Peter Flaschel, Reiner Franke, and Willi Semmler | 1 Routledge j j j ^ Taylor & Francis Group LONDON AND NEW YORK Contents List of figures xi ...

In this paper we formulate a baseline disequilibrium AS-AD model and empirically estimate it with time series data for the U.S.-economy. The version of the model used here exhibits a Phillips-curve, a dynamic IS curve and a Taylor interest rate rule. It is based on sticky wages and prices,...