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A Heliocentric Journey into Germany's Great Depression

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  • Weder, Mark

Abstract

The Paper finds empirical evidence on the ripple effect of sunspots on the interwar German economy. It identifies a sequence of negative shocks to expectations for the 1927-32 period. The artificial economy predicts the 1928-32 depression and a long boom from 1933 onwards. Overall, a tangible fraction of interwar output volatility is attributed for by sunspots.

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Bibliographic Info

Paper provided by C.E.P.R. Discussion Papers in its series CEPR Discussion Papers with number 4191.

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Date of creation: Jan 2004
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Handle: RePEc:cpr:ceprdp:4191

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Keywords: applied dynamic general equilibrium; germany; great depression; indeterminacy;

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Cited by:
  1. Mark Weder, 2006. "A heliocentric journey into Germany's Great Depression," Oxford Economic Papers, Oxford University Press, vol. 58(2), pages 288-316, April.

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