A Disequilibrium Model of Real and Financial Accumulation in an Open Economy: Theory, Evidence, and Policy Simulations

ISBN-13: 9783540138891 / Angielski / Miękka / 1984 / 176 str.

Giancarlo Gandolfo; Pietro C. Padoan

Opis

This is the fourth version of a model that five years ago we set out to build and estimate along the lines of the continuous time approach clarified In chapter 1. Previous versions appeared in journal articles and conference proceedings, where the space is notoriously limited. Therefore we welcome the possibility of publishing a book-length treatment of this fourth version, so that we can describe its theoretical and empirical aspects in some detail. Although we have worked closely together and accept joint responsibility for the whole book, chs. 1 and 2 and appendix I have been written by G. Gandolfo, whilst chs. ] and 4 and appendix II have been written by P.c. Padoan. Different parts of this version of the model have been discussed In various lectures at the European University Institute (Florence) in 1984, In a seminar organized by the Bank of Italy (Sadiba, Perugia, Italy, February 16-18, 1984), in the second Viennese Workshop on Economic Applications of Control Theory (Vienna, May 16-18, 1984), and in the sixth annual Conference of the Society for Economic Dynamics and Control (Nice, France, June 13-15, 1984). In all of these we received helpful comments; similarly helpful were the comments of Clifford R .. Wymer, who, however, is absolved of any responsibility.

Spis treści

1 Methodological Problems.- 1.1 Why “Small” Models.- 1.2 Why Continuous Models.- 1.3 Plan of the Book.- 2 The Model.- 2.1 An Overwiew.- 2.2 The Single Equations.- 2.2.1 The Real Sector.- 2.2.2 The Price and Wage Sector.- 2.2.3 The Financial Sector.- 2.2.4 Policy Reaction Functions.- 2.2.5 Final Considerations.- 2.3 Steady-state, Comparative Dynamics, Stability, and Sensitivity.- 3 Empirical Results.- 3.1 Parameter Estimates.- 3.1.1 Adjustment Parameters.- 3.1.2 Elasticities and Other Parameters.- 3.2 Stability and Sensitivity.- 3.3 Predictive Performance.- 4 Policy Simulations.- 4.1 Introduction.- 4.2 Antiinflationary Policies.- 4.3 Endogenous Exchange Rate Determination.- 4.4 Exogenous Variables Behaviour Altered.- 4.5 Global Strategies.- Appendix I.- 1.1 Derivation of the Steady-state and Comparative Dynamics Results.- 1.2 Linearization about the Steady-state.- 1.3 On the Elimination of Y?.- Appendix II.- II.1 Data Sources and Definitions.- II.1.1 Sources of Data.- II.1.2 Definition of Series.- II.2 On the Endogenous Estimation of Productivity.- II.3 Simulation Procedures.- II.4 Whither Simulations?.- References.- Author Index.

O autorze

Since 1974 professor Giancarlo Gandolfo is full professor of International Economics, Faculty of Economics, Sapienza University of Rome. Since 2005 he is member of the scientific committee of University of Rome La Sapienza Press. His main areas of research are International monetary economics, continuous time econometrics, mathematical methods and models of economic dynamics. He is recipient of several research grants by national and international institutions.