Last edited by Moogurg
Wednesday, July 22, 2020 | History

2 edition of Inventories, rational expectations and the business cycle found in the catalog.

Inventories, rational expectations and the business cycle

by Alan S. Blinder

  • 275 Want to read
  • 7 Currently reading

Published by Dept. of Economics, Massachusetts Institute of Technology in Cambridge, Mass .
Written in English


Edition Notes

Bibliography: leaf [36]

StatementAlan A.[sic] Blinder and Stanley Fischer
SeriesWorking paper - Dept. of Economics, Massachusetts Institute of Technology ; no. 220, Working paper (Massachusetts Institute of Technology. Dept. of Economics) -- no. 220.
ContributionsFischer, Stanley
The Physical Object
Pagination35, [1], 5 leaves :
Number of Pages35
ID Numbers
Open LibraryOL24627585M
OCLC/WorldCa4387811

leads and rational expectations. Now it is time to go through a particular model to see how these methods get combined with economic theory. Speci cally, we will work through a version of the Real Business Cycle (RBC) model|introduced in a famous paper by Finn Kydland and Edward Prescott|is the original DSGE model   Business people, like people, are fallible and subject to whims and miscalculations. But let's set that aside and ask what, in the current circumstances, would constitute rational action.

Find many great new & used options and get the best deals for Routledge Library Editions: Exchange Rate Economics Ser.: Essays on Rational Expectations and Flexible Exchange Rates by Nasser Amin Hassan Saidi (, Trade Paperback) at the best online . The change in business inventories. 4. The percentage change in "sensitive" commodity prices. Rational Expectations 2. Fluctuations in productivity caused by fluctuations Real Business Cycle theorists believe that workers compare the current real wage to their estimate of the future real wage, and that they do a present value.

"In Rational Expectations and Inflation, Sargent provides a consistent way to think about the relationship between a government and its central bank[I]t is the best exposition of what monetary policy is all about, at this mostly nontechnical level, of which I know Rational Expectations and Inflation on the whole remains fresh, stimulating and informative.". Rational expectations The idea that people rationally anticipate the future and respond today to what they see ahead. This concept was pioneered by Nobel Laureate, Robert E. Lucas, Jr. Rational Expectations Theory In economics, a theory stating that economic actors make decisions based on their expectations for the future, which are based on their.


Share this book
You might also like
Have you read a good book lately?

Have you read a good book lately?

Journal of the Missouri State Convention

Journal of the Missouri State Convention

On approximations for the distribution of a heterogeneous risk portfolio

On approximations for the distribution of a heterogeneous risk portfolio

Spanish Sg Ch 1-14-Accounting Prin

Spanish Sg Ch 1-14-Accounting Prin

Medicine experts of the /Xam San

Medicine experts of the /Xam San

Sharpes Havoc

Sharpes Havoc

Corporate financing through public deposits

Corporate financing through public deposits

Hazardous product exports

Hazardous product exports

Marieb Human Anatomy & Physiology 3e, Marieb Cat Lab Manual, Marieb

Marieb Human Anatomy & Physiology 3e, Marieb Cat Lab Manual, Marieb

The Moon follows me.

The Moon follows me.

Legal profession.

Legal profession.

Housing and urban development act of 1973

Housing and urban development act of 1973

Inventories, rational expectations and the business cycle by Alan S. Blinder Download PDF EPUB FB2

A look at the data su, ests that this vehicle is probably of considerably empirical importance. A.S. Blinder and S. Fischer; Inventories, rational expectations, the business cycle For example, data in table 2 show how dramatic was the imprint of inventory investment on the. business by: Journals & Books; Help Volume 8, Issue 3,Pages Inventories, rational expectations, and the business cycle the mechanism is the gradual adjustment of inventory stocks.

Two macroeconomic models of inventory holdings are formulated. Both imply, first, that current output should be a decreasing function of the stock of Cited by: Inventories, Rational Expectations, and the Business Cycle Alan S. Blinder, Stanley Fischer. NBER Working Paper No.

(Also Reprint No. r) Issued in August NBER Program(s):Economic Fluctuations and GrowthCited by: Inventories, rational expectations and the business cycle by Alan S. Blinder, unknown edition,Pages: Downloadable (with rational expectations and the business cycle book.

The simplest macroeconomic models in which markets clear instantaneously, and expectations are rational preclude the existence of "business cycles," that is, of serially correlated deviations of output from trend.

This paper studies one of several mechanisms that can be used to make these so-called "new-classical" models produce business cycles; the mechanism. Downloadable. The simplest macroeconomic models in which markets clear instantaneously, and expectations are rational preclude the existence of "business cycles," that is, of serially correlated deviations of output from trend.

This paper studies one of several mechanisms that can be used to make these so-called "new-classical" models produce business cycles; the mechanism is the gradual. workingpaper department ofeconomics INVENTORIES,RATIONALEXPECTATIONS ANDTHEBUSINESSCYCLE randStanleyFischer WorkingPaperNumber June^ massachusetts instituteof technology 50memorialdrive Cambridge,mass   The rational expectations theory is the dominant assumption model used in business cycles and finance as a cornerstone of the efficient market hypothesis (EMH).

Understanding Rational Expectations. Following the work of Zabel (), Maccini (), Reagan (), and Reagan and Weitzman (), Blinder () laid the foundations of the rational expectations equilibrium inventory model.

To the three reasons for holding inventories in the model of Holt et al. was added (d) optimal pricing. In economics, "rational expectations" are model-consistent expectations, in that agents inside the model are assumed to "know the model" and on average take the model's predictions as valid.

Rational expectations ensure internal consistency in models involving uncertainty. To obtain consistency within a model, the predictions of future values of economically relevant variables from the model.

This volume consists of six essays that develop and/or apply "rational expectations equilibrium inventory models" to study the time series behavior of production, sales, prices, and inventories at the industry level. By "rational expectations equilibrium inventory model" I mean the extension of the.

Rational Expectations is a clean sheet of paper in the wonky world of quantitatively based asset allocation aimed at small investors. Continuing the theme of the Investing for Adults series, this full-length finance title is not for beginners, but rather assumes a fair degree of quantitative ability and finance s: In "The Role of Inventories in the Business Cycle," Aubhik Khan surveys the facts about inventory investment over the business cycle, then discusses two leading theories that may explain these ories ; Business cycles Rational Expectations and the Smoothing Properties of Inventories and Finished Goods,”.

of the business cycle. Alan Blinder, a former Governor of the Federal Reserve System, famously remarked that “the business cycle, to a surprisingly large degree, is an inventory cycle.” Consis-tent with this perspective, much of the discussion about the timing of a recovery following economic recessions focuses on firms’ stocks of.

Get this from a library. Inventories, rational expectations, and the business cycle. [Alan S Blinder; Stanley Fischer] -- "The simplest macroeconomic models in which markets clear instantaneously, and expectations are rational preclude the existence of "business cycles," that. Hall's excellent survey of business cycles is concise, lucid, and up-to-date discussing not only early theories of the business cycle and Keynesian and monetarist models, but also the rational expectationist and new Keynesian models along with actual business cycles Strengths of the book include an excellent bibliography and Hall's insightful history of business cycles from the panic of.

Abstract. This paper studies the dynamic properties of an imperfectly competitive economy with inventory holdings. In particular, we focus on the serial correlation in aggregate output and employment produced by the holding of inventories in one sector of the economy and the co-movement between sectors of an economy over the cycle resulting from demand linkages.

Blinder, Alan S. and Stanley Fischer () ‘Inventories, Rational Expectations, and the Business Cycle’, Journal of Monetary Economics, vol. 8 (November), pp.

– Google Scholar Boschen, John and Herschel I. Grossman () ‘Tests of Equilibrium Macroeconomics Using Contemporaneous Monetary Data’, Journal of Monetary Economics. Inventories, Rational Expectations, and the Business Cycle ABSTRACT The simplest macroeconomic models in which markets clear instan-taneously, and expectations are rational preclude the existence of "business cycles," that is, of serially correlated deviations of output from trend.

This paper studies one of several mechanisms that can be. Business cycle, periodic fluctuations in the general rate of economic activity, as measured by the levels of employment, prices, and production.

Figure 1, for example, shows changes in wholesale prices in four Western industrialized countries over the period from to As can be seen, the movements are not, strictly speaking, cyclic, and although some regularities are apparent, they are.

Author of EconPrinciples of Macroeconomics, Economic policy and the great stagflation, Wall Street Journal Edition of Microeconomics, The quiet revolution, Banco Central, Inventories, rational expectations and the business cycle, Economics, Microeconomics: Principles and .Economists have developed models in which individuals form expectations of key variables in a "rational" manner such that these expectations are consistent with actual economic environments.

In this revised and expanded second edition, Professor Sheffrin first explores the logical foundation of the concept and the case for employing it in economic analysis.Eichenbaum Martin S. Rational expectations and the smoothing properties of inventories of finished goods.

Journal of Monetary Economics 14 (1), 71 – Fisher Jonas D.M. and Andreas Hornstein (S,s) inventory policies in general equilibrium.