Okun's (1962) seminal paper is an important study on economic growth and unemployment but a detailed exploration of the effect of productivity growth on unemployment has been left aside. Yet, the relationship between productivity growth and unemployment has been debated since long. In this paper...

We propose a macroeconomic model to assess optimal public policy decisions in the face of competing funding demands for climate change action versus traditional welfare-enhancing capital investment. How to properly delineate the costs and benefits of traditional versus adaption-focused...

Agricultural commodities, here considered as renewable products, are critical to many developing countries. Not only are their prices rising, along with price volatility on both spot and future markets, but also an increasing financialization of these products is making itself felt. All this may...

The control of credit cycles has become a major issue for monetary policy authorities. We include in an inflation targeting model of the type developed by Svensson (1997) a nonlinear Phillips curve – allowing for a state-dependent relation of the inflation rate and the output gap – and add...

Complementing the strand of literature on problems of social inequality we offer a perspective inspired by the work of Georg Hegel. The German philosopher’s prescient view on the dialectical bond of emerging capitalist system and the role of the fiscal state was impressive in its development...

In this paper, we consider the stability in regime-switching autoregressive models. Applying the concept of joint spectral radius to the regime-switching systems we provide a sufficient condition for the stationarity and the ergodicity of the regime-switching autoregressive models

This paper studies the issue of instability of the banking sector and how it may spillover to the macroeconomy. The banking sector is considered here as representing a wealth fund that accumulates capital assets, can heavily borrow and pays bonuses. We presume that the banking system faces not...

This paper demonstrates how kernel density estimation and non-convergent inflection point identification contribute towards the study of wealth disparity. Measuring the dispersion of non-convergent paired inflection points taken from density estimates of the log of net wealth reveals multi-modal...

We present an extended integrated assessment model (IAM) that optimizes climate financing policies over multiple phases of discrete policy action. We build on Semmler et al. (2018) which develops a single-phase model of the optimal allocation of infrastructure expenditure to carbon-neutral...

This paper examines the dynamic interactions between forest biomass, atmospheric carbon, and land use change. These three factors are modeled using a dynamic system model as state equations while the policymaker decides the optimal timber harvesting and deforestation quantities. An extension of...