Monetary and Fiscal Dynamics

  • MichaelĀ Carlberg

Part of the Studies in Contemporary Economics book series (CONTEMPORARY)

Table of contents

  1. Front Matter
    Pages I-1
  2. Introduction

    1. Michael Carlberg
      Pages 3-10
  3. Basic Model

    1. Front Matter
      Pages 11-11
    2. Michael Carlberg
      Pages 13-17
    3. Michael Carlberg
      Pages 18-20
    4. Michael Carlberg
      Pages 21-24
    5. Michael Carlberg
      Pages 25-26
    6. Michael Carlberg
      Pages 27-31
    7. Michael Carlberg
      Pages 32-38
    8. Michael Carlberg
      Pages 39-43
    9. Michael Carlberg
      Pages 44-46
    10. Michael Carlberg
      Pages 47-50
    11. Michael Carlberg
      Pages 51-53
    12. Michael Carlberg
      Pages 54-57
    13. Michael Carlberg
      Pages 58-69
    14. Michael Carlberg
      Pages 70-75
    15. Michael Carlberg
      Pages 76-78
  4. Economy with Public Sector

    1. Front Matter
      Pages 79-79
    2. Michael Carlberg
      Pages 81-85
    3. Michael Carlberg
      Pages 86-88

About this book

Introduction

The analysis will be conducted within an IS-LM model augmen- ted by the dynamics of money wages, private capital and public debt. A macroeconomic shock induces an extended process of adjustment that is characterized by unemployment. This in turn requires a dynamic path of monetary and fiscal policy: As a response to the shock, the central bank continuouslyadapts the quantity of money so as to keep up full employment all the time. And the government continuously accommodates its purchases of goods and services. Can this be sustained? Or will public debt tend to explode, thereby driving the stock of capial down to zero?

Keywords

Employment demography fiscal policy macroeconomics monetary policy unemployment

Authors and affiliations

  • MichaelĀ Carlberg
    • 1
  1. 1.Department of EconomicsFederal UniversityHamburg 70Germany

Bibliographic information

  • DOI https://doi.org/10.1007/978-3-642-47689-1
  • Copyright Information Physica-Verlag Heidelberg 1992
  • Publisher Name Physica-Verlag HD
  • eBook Packages Springer Book Archive
  • Print ISBN 978-3-7908-0619-9
  • Online ISBN 978-3-642-47689-1
  • Series Print ISSN 1431-8806
  • About this book