Economic Theory Commons^™

Future Fiscal And Budgetary Shocks, Hian Teck Hoon, Edmund S. Phelps

Research Collection School Of Economics

We study here the effects of future tax and budgetary shocks on present levels of economic activity and real interest rates in a nonmonetary and possibly non-Ricardian economy. The paper first takes up an (unanticipated) temporary tax cut to be effective on a given future date—a delayed debt bomb. The sudden prospect of this future-dated shock causes at once a drop in the (unit) value placed on the firms’ business asset, the customer, and accordingly on the price of shares—with the result that the hourly wage, hours worked and GDP drop in tandem. This paradox of reduced activity through announcement …

On Patent Licensing In Spatial Competition, Sougata Poddar, Uday Bhanu Sinha

Economics Faculty Articles and Research

We consider the issue of patent licensing in a linear city framework where firms are located at the end points of the city and compete in price. We consider three types of licensing arrangements, namely, auction, fixed fee, royalty; and focus on the optimal licensing strategy of an outsider patentee as well as an insider patentee. Contrary to the findings in the existing literature, first we show offering royalty is the best for the patentee when the patentee is an outsider for both drastic and non-drastic innovation. For insider patentee, offering no-license is the best when the innovation is drastic, …

Full Cost Pricing: An Approach To Internalize The Full-Cost Of A Gallon Of Unleaded Gasoline In The U.S And The Feasibility Of Markets Sustaining This Result, Joseph Mack

Honors Capstones

Capstone submitted as a graduation requirement for the BSU Honors Program.

Three Essays On Real Estate Investment Trusts, Yan Lin

Theses and Dissertations in Business Administration

This dissertation includes three essays that study on Real Estate Investment Trusts (REITs). The first essay examines the shape of market demand curve by employing REIT equity fund flows as a proxy for REIT aggregate demand. An empirical framework is introduced to disentangle the price-pressure effect and the information effect. We do not find evidence for the price-pressure effect, which states that REIT equity fund flows directly affect REIT market prices. Instead, we find that the performance of REIT market prices does influence REIT equity fund flows. The results indicate that investors adjust their demand for REITs by investigating and …

Insights From Economics, Jennifer Gerarda Brown

Journal of Legal Education

No abstract provided.

Bargaining And Competition Revisited, Takashi Kunimoto, Roberto Serrano

Research Collection School Of Economics

We show the robustness of the Walrasian result obtained in models of bargaining in pairwise meetings. Restricting trade to take place only in pairs, most of the assumptions made in the literature are dispensed with. These include assumptions on preferences (differentiability, monotonicity, strict concavity, bounded curvature), on the set of agents (dispersed characteristics) or on the consumption set (allowing only divisible goods).

Local Coordination And Market Equilibria, Shurojit Chatterji, Sayantan Ghosal

Research Collection School Of Economics

We reformulate the local stability analysis of market equilibria in a competitive market as a local coordination problem in a market game, where the map associating market prices to best-responses of all traders is common knowledge and well-defined both in and out of equilibrium. Initial expectations over market variables differ from their equilibrium values and are not common knowledge. This results in a coordination problem as traders use the structure of the market game to converge back to equilibrium. We analyse a simultaneous move and a sequential move version of the market game and explore the link with local rationalizability.

The Distribution Of Money And Prices In An Equilibrium With Lotteries, Aleksander Berentsen, Gabriele Camera, Christopher Waller

Economics Faculty Articles and Research

We construct a tractable ‘fundamental’ model of money with equilibrium heterogeneity in money balances and prices. We do so by considering randomized monetary trades in a standard search-theoretic model of money where agents can hold multiple units of indivisible ‘tokens’ and can offer lotteries on monetary transfers. By studying a simple trading pattern, we can analytically characterize the monetary distribution. Interestingly, such distributions match those observed in numerically simulated economies with fully divisible money and price heterogeneity.

Notes On Sraffa Money Paper, Anwar Shaikh Phd

Archives of Anwar Shaikh

This collection includes:

• Cozzi, T., & Marchionatti, R. (Eds.). (2001). Piero Sraffa’s political economy: A centenary estimate. Routledge.
• Shaikh, A. (2004). On Sraffa's comment that i -> r, with i determined by the Bank or the Stock Exchange (Unpublished handwritten notes).

Circuit Theory + Paradox Of Profit, Anwar Shaikh Phd

Archives of Anwar Shaikh

This collection includes:

• Shaikh, A. (2004, March 17). Reproduction in Marx and circuitist tradition [Handwritten notes addressed to Gennaro Zezza]. Unpublished manuscript.

• Shaikh, A. (2004, March 17). More on circuitists and bank credit [Letter to Gennaro Zezza, including embedded email from Zezza]. Unpublished manuscript.

• Shaikh, A. (2004, March 12). Comments on circuitist models [Comments addressed to Gennaro Zezza]. Unpublished manuscript.

• Zezza, G. (n.d.). Some simple, consistent models of the monetary circuit [Unpublished paper]. Unpublished manuscript.

Sraffa, Anwar Shaikh Phd

Archives of Anwar Shaikh

This collection includes.

• Shaikh, A. (1992, April 22). Sraffa [Unpublished handwritten notes].

• Shaikh, A. (2004, October 20). Shape of distribution of (K/L)s [Unpublished handwritten notes].

• Shaikh, A. (n.d.). Price–value deviations [Unpublished handwritten notes].

• Shaikh, A. (2004, December 9). Price–value deviations [Unpublished handwritten notes].

• Shaikh, A. (2003, April 23). Mathematical equations [Unpublished handwritten notes].

• Shaikh, A. (2009, March 5). Profits and surplus 2008.xls: Main—Pricing cannot create aggregate profit (Marx Vol. I; Sraffa, pp. 3–5) [Spreadsheet printout].

• Shaikh, A. (n.d.). Notes on Sraffa [Annotated typed manuscript].

• Shaikh, A. (2009, March 5). Sraffa [Unpublished handwritten …

Sraffa Paper Notes, Anwar Shaikh Phd

Archives of Anwar Shaikh

This collection includes:

• Cozzi, T., & Marchionatti, R. (Eds.). (2001). Piero Sraffa's political economy: A centenary estimate. Routledge. [Unpublished — contents listed as title and author only: "Monetary analysis in Sraffa's writings," Carlo Panico; "Interest rate and distribution," Riccardo Bellofiore]
• Shaikh, A. (2004, October 28). [Handwritten annotation on title page of Piero Sraffa's political economy: A centenary estimate]. Unpublished manuscript note. New School for Social Research.
• Shaikh, A. (2004, October 28). [Handwritten marginal annotation on text pages regarding Sraffa's claim that i → r, with i determined by the Bank or Stock Exchange, and notation "Sraffa on i …

Two Papers - Profit & Competition Exchange Rates, Anwar Shaikh Phd

Archives of Anwar Shaikh

This collection includes.

• Anwar Shaikh. (2004). The power of profit. Social Research, 71(2), 389–431. Johns Hopkins University Press, Baltimore, MD.

• Anwar Shaikh. (1991, December 16; revised 1994, November). Competition and exchange rates: Theory and empirical evidence (Unpublished manuscript). Department of Economics, Graduate Faculty, The New School for Social Research, New York, NY.

Classical Accumulation Analysis, Anwar Shaikh Phd

Archives of Anwar Shaikh

This collection includes:

• Classical accumulation analysis [Title page]. (1987, August).

• Shaikh, A. (n.d.). Classical model [Handwritten notes]. Unpublished manuscript.

• Shaikh, A. (1988, February 23). Slow adjustment with limit cycle [Handwritten notes]. Unpublished manuscript.

• Shaikh, A. (1988, February 28). Shape of cost curves and profit margin [Handwritten notes]. Unpublished manuscript.

• Shaikh, A., & Milberg, W. (2000, Spring). Lectures on growth theory for Economics 105 [Course lectures]. Unpublished manuscript.

• Shaikh, A. (2004, May 18). Simple dynamic Keynesian model [Handwritten notes]. Unpublished manuscript.

• Shaikh, A. (2003, October 18). RAL and FROP connection [Handwritten notes]. Unpublished manuscript. …

Dynamics Of Growth With Endogenous Savings, Anwar Shaikh Phd

Archives of Anwar Shaikh

This collection includes:

• Shaikh, A. (n.d.). Dynamics of growth with endogenous savings [Folder]. Includes “Pollin’s point.”

• Shaikh, A., PhD. (2003, November 21). Firm’s budget constraint [Handwritten notes].

• Shaikh, A., PhD. (2003, November 19). The problem of SR equil in a growing eco [Handwritten notes].

• Shaikh, A., PhD. (2003, November 21). Household & business savings rates [Handwritten notes].

• Shaikh, A. (2003, December). Business savings and the business cycle [Typed graphs].

• Shaikh, A., PhD. (2004, January 16). Notes on private expenditure, income, and the Ruggles and Godley hypotheses [Handwritten notes].

• Shaikh, A., PhD. (n.d.). The …

The Economic Mythology Of Neoliberalism, Anwar Shaikh Phd

Archives of Anwar Shaikh

This collection includes.

• Shaikh, A., PhD. (2004). The economic mythology of neoliberalism [Manuscript of material included in an edited volume]. In A. Saad-Filho & D. Johnston (Eds.), Neoliberalism: A critical reader. London, England: Pluto Press.

Production, Prices, And Profits, Anwar Shaikh Phd

Archives of Anwar Shaikh

This collection includes:

• Shaikh, A. (2004). Production, prices and profit (Unpublished manuscript).
• Shaikh, A. (2004). Wageprices (Unpublished manuscript).
• Shaikh, A. (2004). Foreign profits (Unpublished manuscript).

Folder On Inflation, Part 4, Money Prices Of Gold, Anwar Shaikh Phd

Archives of Anwar Shaikh

This collection includes:

• Shaikh, A. (2003, October 30). Note on money & inflation & gold prices [Handwritten notes by Anwar Shaikh, PhD].
• U.S. Global Investors. (2004, February 23). A study on the benefits of gold equities as an asset class for portfolio diversification [Selected online presentation slides].

Two Routes To Effective Demand Comment On Kregel, Anwar Shaikh Phd

Archives of Anwar Shaikh

This collection includes:

• Garegnani, P.. (2024). Two routes to effective demand: comment on Kregel. In Capital Theory, the Surplus Approach, and Effective Demand: An Alternative Framework for the Analysis of Value, Distribution and Output Levels (pp. 435-444). Cham: Springer International Publishing.

• Harcourt, G. C. (n.d.). Keynes’s college bursar view of investment: Comment on Kregel [Unpublished manuscript].

Modern Macro, Anwar Shaikh Phd

Archives of Anwar Shaikh

This collection includes:

• Taylor, J. B. (2000). Teaching modern macroeconomics at the principles level. The American Economic Review, 90(2), 90–94. American Economic Association (22-28_Mode... pp. 2, 7).
• Shaikh, A. (n.d.). Notes on Alvaro Cencini and macro school models (Handwritten notes) (22-28_Mode... p. 8).
• De Vroey, M., & Hoover, K. D. (2004). Introduction: Seven decades of the IS-LM model. History of Political Economy, 36(Suppl. 1), 1–11. Duke University Press (22-28_Mode... pp. 9-10).
• Cencini, A. (n.d.). Neoclassical, new classical and new business cycle economics: A critical survey (Unpublished manuscript) (22-28_Mode... p. 21).

Teaching The Ethical Foundations Of Economics, Jonathan B. Wight

Economics Faculty Publications

Some economists consider their discipline a science, and thereby divorced from messy ethical details, the normative passions of right and wrong. They teach in a moral vacuum, perhaps even advocating economic agents' operating independently and avariciously, asserting that this magically produces the greatest good for society.

Dictatorial Domains, Navin Aswal, Shurojit Chatterji, Arunava Sen

Research Collection School Of Economics

In this paper, we introduce the notion of a linked domain and prove that a non-manipulable social choice function defined on such a domain must be dictatorial. This result not only generalizes the Gibbard-Satterthwaite Theorem but also demonstrates that the equivalence between dictatorship and non-manipulability is far more robust than suggested by that theorem. We provide an application of this result in a particular model of voting. We also provide a necessary condition for a domain to be dictatorial and use it to characterize dictatorial domains in the cases where the number of alternatives is three.

Uniformity Of Economic Freedom And Economic Growth, Ahmed Sabry Abou-Zaid

Archived Theses and Dissertations

No abstract provided.

The Political Economy Of Perverse Financial Liberalization: Examples From The Asian Crisis, Nancy Neiman Auerbach, Thomas D. Willett

Scripps Faculty Publications and Research

Debates continue to rage about the causes of recent currency and financial crises around the globe and their implications for the desirability of domestic and international financial liberalization. Beneath the heated exchanges of the most vocal disputants, a quiet consensus is beginning to emerge among serious scholars and policy officials. The big lesson from these crises is that while financial liberalization is still a desirable goal, it must be approached very carefully. It’s not just that without the proper pre-conditions liberalization will not provide full benefits. The results can sometimes be disastrous. What was once considered to be an arcane …

Rjvs In Product Innovation And Cartel Stability, Luca Lambertini, Sougata Poddar, Dan Sasaki

Economics Faculty Articles and Research

We characterise the interplay between firms' decision in product development undertaken through a research joing venture (RJV), and the nature of their ensuing market behaviour. Participant firms in an RJV face a trade-off between saving the costs of product innovation by developing similar products to one another, e.g. by sharing most of the basic components of their products, and investing higher initial efforts in product innovation in order to develop more distinct products. We prove that the more the fims' products are distinct and thus less substitutable, the easier their collusion is to sustain in the marketing supergame, either in …

Excess Capacity: A Note, Sougata Poddar

Economics Faculty Articles and Research

In a two period model of strategic entry deterrence where the incumbent firm moves before the entrant by installing capacity for production, Dixit (1980) argued that in a (perfect) equilibrium excess capacity would not be observed, contradicting Spence's (1977) result on the same issue. In this note, we show that Dixit may not always remain true when we allow for demand uncertainty.

Power, Privilege, And Special Interests: Rent Seeking And Subsidies In Agriculture, Matt Bogard

Agriculture Department Seminar Series

This presentation covers what Public Choice economists refer to as ‘rent seeking,’ generally seeking favor or special privilege from government through subsidies or regulatory advantages. Particularly, the biotech industry is the area of focus for this presentation. Problems with rent seeking in the biotech industry involve less innovation and industry consolidation. Policies related to biotech regulation, school lunch programs, the Clean Air Act, and ethanol subsidies are discussed. A game theoretic approach is used and it is concluded that issues related to rent seeking and special interests are not adequately addressed by recent campaign finance reform efforts. Alternatives such as …

The Evolution Of Human Life Expectancy And Intelligence In Hunter-Gatherer Economies, Hillard Kaplan

ESI Publications

The economics of hunting and gathering must have driven the biological evolution of human characteristics, since hunter-gatherer societies prevailed for the two million years of human history. These societies feature huge intergenerational resource flows, suggesting that these resource flows should replace fertility as the key demographic consideration. It is then theoretically expected that life expectancy and brain size would increase simultaneously, as apparently occurred during our evolutionary history. The brain here is considered as a direct form of bodily investment, but also crucially as facilitating further indirect investment by means of learning-by-doing.

Econ 205 New Stock Flow, Budget Restraints, Walra's Law, Anwar Shaikh Phd

Archives of Anwar Shaikh

This collection includes:

• Shaikh, A. (1990, April 12). Keynes and Kalecki on finance and investment [Unpublished manuscript with attached post-it note from Ramesh to Anwar Shaikh]. Unpublished manuscript.

• Shaikh, A. (1985, December 17). Money and commodity circulation in simple reproduction [Handwritten diagram for Eco 204]. Unpublished manuscript.

• Shaikh, A. (2003, December 15). Structure of Godley’s basic ex ante model [Handwritten notes]. Unpublished manuscript.

• Shaikh, A. (1990, April 6). Banks, credit, and currency (citing Moore, 1988) [Handwritten notes]. Unpublished manuscript.

• Shaikh, A. (2002, March 5). Ex ante and ex post stock-flow accounts [Typed course notes for …

Interest Rates + Prices, Anwar Shaikh Phd

Archives of Anwar Shaikh

This collection includes.

• Woodford, M. (2003). The return of monetary rules (Chap. 1) [Excerpt; photocopy]. In Interest and prices: Foundations of a theory of monetary policy (pp. xxx–xxx). Princeton, NJ: Princeton University Press.