Productivity growth, consumer confidence and the business cycle
AbstractThe objective of this paper is to provide, in the context of a dynamic general equilibrium model, an answer to the following five questions: 1. To what extent does an economy subject to regular variations in labor productivity growth differ from one where labor productivity is constant? 2.What is the impact on major macro indicators of a one-time change in labor productivity growth? 3. What are the business cycle implications of autonomous (non-falsifiable) changes in growth expectations? 4. What is the potential of such expectation changes for explaining the volatility of consumption to output ratio? 5. Can autonomous changes in growth expectations help us understand recent business cycle episodes?
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Bibliographic InfoArticle provided by Elsevier in its journal European Economic Review.
Volume (Year): 42 (1998)
Issue (Month): 6 (June)
Contact details of provider:
Web page: http://www.elsevier.com/locate/eer
Other versions of this item:
- Danthine, Jean-Pierre & Donaldson, John B & Johnsen, Thore, 1998. "Productivity Growth, Consumer Confidence and the Business Cycle," CEPR Discussion Papers 1779, C.E.P.R. Discussion Papers.
- Jean-Pierre DANTHINE & John B. DONALDSON & Thore JOHNSEN, 1997. "Productivity Growth, Consumer Confidence and the Business Cycle," Cahiers de Recherches Economiques du DÃ©partement d'EconomÃ©trie et d'Economie politique (DEEP) 9711, Université de Lausanne, Faculté des HEC, DEEP.
- E1 - Macroeconomics and Monetary Economics - - General Aggregative Models
- E2 - Macroeconomics and Monetary Economics - - Consumption, Saving, Production, Employment, and Investment
- E3 - Macroeconomics and Monetary Economics - - Prices, Business Fluctuations, and Cycles
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
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