IDEAS home Printed from https://ideas.repec.org/a/prg/jnlpol/v2016y2016i7id1096p769-788.html
   My bibliography  Save this article

Odhad parametrů rozšířeného Kaldorova modelu a analýza stability stacionárního řešení
[An Inflation Analysis Using an Endogenous Business Cycle Model]

Author

Listed:
  • Jan Kodera
  • Quang Van Tran

Abstract

In this article we analyze the continuous inflation dynamics using a four-equation model. When constructing the model, the traditional Kaldorian two-equation model is extended by adding two other equations. One of them describes an adaptive inflation expectations and the other continuous dynamics of the money market. In this setting, the instability velocity of money circulation is assumed due to the effects of expected inflation on money circulation velocity. Then the parameters of the model are estimated using the real Czech economic data. As it is a non-linear model in its parameters, a non-linear estimation technique is used for this purpose. Further, the stationarity as well as the stability of the estimated model is thoroughly examined as its instability may indicate that the model can generate some complex dynamics.

Suggested Citation

  • Jan Kodera & Quang Van Tran, 2016. "Odhad parametrů rozšířeného Kaldorova modelu a analýza stability stacionárního řešení [An Inflation Analysis Using an Endogenous Business Cycle Model]," Politická ekonomie, Prague University of Economics and Business, vol. 2016(7), pages 769-788.
    • Handle: RePEc:prg:jnlpol:v:2016:y:2016:i:7:id:1096:p:769-788
    DOI: 10.18267/j.polek.1096
    as

    Download full text from publisher

    File URL: http://polek.vse.cz/doi/10.18267/j.polek.1096.html
    Download Restriction: free of charge
    File URL: http://polek.vse.cz/doi/10.18267/j.polek.1096.pdf
    Download Restriction: free of charge
    File URL: https://libkey.io/10.18267/j.polek.1096?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Claude Hillinger & Bernd Süßmuth, 2010. "The Quantity Theory of Money: An Assessment of its Real Linchpin Prediction," CESifo Working Paper Series 2995, CESifo.
    2. Hillinger, Claude, 2005. "Evidence and Ideology in Macroeconomics: The Case of Investment Cycles," Discussion Papers in Economics 694, University of Munich, Department of Economics.
    3. Guglielmo Forges Davanzati & Rosario Patalano & Guido Traficante, 2016. "The Italian economic decline in a Kaldorian theoretical perspective," Working Papers PKWP1606, Post Keynesian Economics Society (PKES).
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Eleni Dalla, 2017. "Monetary policy implications on the investment decision: Do economies of scope in the banking sector matter?," Discussion Paper Series 2017_05, Department of Economics, University of Macedonia, revised Mar 2017.
    2. Matteo Deleidi & Walter Paternesi Meloni & Antonella Stirati, 2020. "Tertiarization, productivity and aggregate demand: evidence-based policies for European countries," Journal of Evolutionary Economics, Springer, vol. 30(5), pages 1429-1465, November.
    3. Jan Kodera & Tran Van Quang, 2013. "Modely nové Keynesovské ekonomie: struktura, problémy a perspektivy [The New Keynesian Economics Models: Structure, Disadvantages and Perspectives]," Politická ekonomie, Prague University of Economics and Business, vol. 2013(2), pages 274-295.
    4. Evren Erdoğan Coşar, 2012. "Analysis of cyclical behaviour of investment expenditures for the Turkish economy," Applied Economics Letters, Taylor & Francis Journals, vol. 19(13), pages 1213-1221, September.
    5. Dalla, Eleni & Varelas, Erotokritos, 2016. "Second-order accelerator of investment: The case of discrete time," International Review of Economics Education, Elsevier, vol. 21(C), pages 48-60.
    6. Eleni Dalla, 2018. "On the effect of Cournot and Stackelberg competition in the banking sector on the investment cycle," International Journal of Monetary Economics and Finance, Inderscience Enterprises Ltd, vol. 11(5), pages 499-515.
    7. Guglielmo Forges Davanzati, 2020. "The Italian Economic Decline and the Proposal of the State as Innovator of First Resort," Working Papers 0049, ASTRIL - Associazione Studi e Ricerche Interdisciplinari sul Lavoro.
    8. Dalla, Eleni & Varelas, Erotokritos, 2016. "An economic model for the interpretation of business cycles and the efficiency of monetary policy," The Journal of Economic Asymmetries, Elsevier, vol. 14(PA), pages 29-38.
    9. Matteo Deleidi & Walter Paternesi Meloni & Antonella Stirati, 2018. "Structural change, labour productivity and the Kaldor-Verdoorn law: evidence from European countries," Departmental Working Papers of Economics - University 'Roma Tre' 0239, Department of Economics - University Roma Tre.
    10. Fabrizio Antenucci & Matteo Deleidi & Walter Paternesi Meloni, 2019. "Demand and Supply-side Drivers of Labour Productivity Growth: an empirical assessment for G7 countries," Working Papers 0042, ASTRIL - Associazione Studi e Ricerche Interdisciplinari sul Lavoro.
    11. Patrick M. Crowley & Andrew Hughes Hallett, 2021. "The Evolution of US and UK Real GDP Components in the Time-Frequency Domain: A Continuous Wavelet Analysis," Journal of Business Cycle Research, Springer;Centre for International Research on Economic Tendency Surveys (CIRET), vol. 17(3), pages 233-261, December.

    More about this item

    Keywords

    Kaldorian model; monetary inflation model; nonlinear estimation; bootstrapping; stationary solution; stability analysis;
    All these keywords.

    JEL classification:

    • C62 - Mathematical and Quantitative Methods - - Mathematical Methods; Programming Models; Mathematical and Simulation Modeling - - - Existence and Stability Conditions of Equilibrium
    • C88 - Mathematical and Quantitative Methods - - Data Collection and Data Estimation Methodology; Computer Programs - - - Other Computer Software
    • E32 - Macroeconomics and Monetary Economics - - Prices, Business Fluctuations, and Cycles - - - Business Fluctuations; Cycles

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:prg:jnlpol:v:2016:y:2016:i:7:id:1096:p:769-788. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Stanislav Vojir (email available below). General contact details of provider: https://edirc.repec.org/data/uevsecz.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.