This paper revisits Devereux et al. (J Int Econ 71:113–132 <CitationRef CitationID="CR17">2007</CitationRef>) which studies trade and macroeconomic behaviour in a two-country model under a reference currency such as the dollar in US-China trade. The home country (e.g. the US) sets its export prices in dollars and so does the foreign...</citationref>

Based on the theory of power proposed by John Galbraith, Bertrand Russell and other social scientists, this paper offers two positive intertemporal general equilibrium models to understand: i.) How do rational people decide their optimal consumption, property accumulation, and power? ii.)What...

We develop a directed-technological-change model to address the issue of the optimal patent system and investigate how the optimal patent system influences the direction of technological change and the inequality of wage, where patents are categorized as skill- and labor-complementary. The major...

We develop a directed-technological-change model to address the issue of the optimal patent system and investigate how the optimal patent system influences the direction of technological change and the inequality of wage, where patents are categorized as skill- and labor-complementary. The major...

This paper extends the Barro (1990) model with single aggregate government spending and one flat income tax to include public expenditures and taxes by multiple levels of government. It derives the rate of endogenous growth and, with both simulations and special examples, examines how that rate...

By analyzing the evolution of local governments' roles in different periods of China's growth in transition, this paper explores local fiscal incentives to use subsidized land and infrastructure as a key instrument in regional competition for manufacturing investment after the mid-1990s. We...

The negative association between fiscal decentralization and provincial economic growth has been found to be consistently significant and robust in China. For India, however, we have found that fiscal decentralization is positively, and even statistically significantly, associated with state...