Bitte verwenden Sie diesen Link, um diese Publikation zu zitieren, oder auf sie als Internetquelle zu verweisen: https://hdl.handle.net/10419/243047 
Autor:innen: 
Erscheinungsjahr: 
2021
Quellenangabe: 
[Journal:] The IUP Journal of Applied Finance [ISSN:] 0972-5105 [Volume:] 27 [Issue:] 3 [Publisher:] IUP Publications [Place:] Hyderabad, Telangana, India [Year:] 2021 [Pages:] 5-20
Verlag: 
IUP Publications, Hyderabad, Telangana, India
Zusammenfassung: 
We augment an otherwise standard business cycle model with a richer government sector, and add a stochastic costly credit production as in Benk at al. (2005), and a modified cash in advance (CIA) considerations. In particular, the cash in advance constraint of Cole (2020) is extended to include private investment and government consumption, and allows an endogenous proportion of total expenditure to be done using credit. This specification is then calibrated to Bulgarian data after the introduction of the currency board (1999-2018). The costly credit production mechanism adds little in explaining business cycle fluctuations. Credit shocks by themselves are an unlikely candidate to drive the business cycle. In addition, the modified CIA constraint produces a transmission mechanism that generates too much investment volatility, and too little variability in hours and wages in the model.
Schlagwörter: 
business cycles
modified cash-in-advance (CIA) constraint
stochastic credit production
time cost
Bulgaria
JEL: 
E32
URL der Erstveröffentlichung: 
Dokumentart: 
Article
Dokumentversion: 
Accepted Manuscript (Postprint)
Erscheint in der Sammlung:

Datei(en):
Datei
Größe
277.32 kB





Publikationen in EconStor sind urheberrechtlich geschützt.