Download Economics Solutions Manual for Microeconomics Theory by James Mitchell Henderson PDF

By James Mitchell Henderson

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Business cycles: The problem and its setting. New York: National Bureau of Economjc Research. - - - . 1951. What happens during business cycles: a progress report. New York: National Bureau of Economjc Research. National Bureau of Economic Research. 1951. Conference on business cycles. Universities-National Bureau Committee for Economic Research. New York: National Bureau of Economic Research. Phelps, Edmund S. 1978. Commodity-supply shock and full-employment monetary policy. Journal of Money, Credit and Banking 10 (May): 206-21.

Hall's estimates imply a "draw" between the two models, with the estimated consumption function essentially flat and a marginal propensity to consume of roughly zero. Because this phenomenon equally characterizes the periods 1920-42 and 1947-82, it reveals no change in behavior that would explain greater economic stability in the postwar period. The residual terms in Hall's equations, the implied consumption impulses, are moderately more variable in the interwar period, and this is dominated by a negative innovation in 193032.

Taylor's conference paper confirms the greater persistence of postwar wage and price behavior: "wages and prices have developed more rigidities, in the sense that past values of wages and prices influence their current values.... " The greater postwar persistence of wages and prices is generally attributed to two factors. First, the increased importance of labor unions since the late 1930s has led to centralized wage bargaining, and high perceived costs of negotiation have made it economical to establish three-year contracts in many industries.

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