Credit Constraint in General Equilibrium: Experimental Results
AbstractOur work attempts to investigate the influence of credit tightness or expansion on activity and prices in a multimarket set-up. We report on some doubleauction, two-market experiments where subjects had to satisfy an inequality involving the use of credit. The experiments display two regimes. characterized by high and low credit availability. The critical vakre of credit at the common boundary of the two regimes has a compelling interpretation as the maximal credit use at the Arrow-Debreu equilibrium of the abstract economy naturally associated to our experimental environment. Our main results are that changes in the availability of credit: (a): have minor and unsystematic effects on real and nominal variables in the high-credit regime; (b): have substantial effects, both real and nominal, in the low-credit regime.
Download InfoTo our knowledge, this item is not available for download. To find whether it is available, there are three options:
1. Check below under "Related research" whether another version of this item is available online.
2. Check on the provider's web page whether it is in fact available.
3. Perform a search for a similarly titled item that would be available.
Bibliographic InfoPaper provided by California Davis - Institute of Governmental Affairs in its series Papers with number 95-07.
Date of creation: 1995
Date of revision:
Contact details of provider:
Postal: UNIVERSITY OF CALIFORNIA DAVIS, INSTITUTE OF GOVERNMENTAL AFFAIRS, RESEARCH PROGRAM IN APPLIED MACROECONOMICS AND MACRO POLICY, DAVIS CALIFORNIA 95616 U.S.A.
AUCTIONS; GENERAL EQUILIBRIUM; CREDIT;
Other versions of this item:
- Bosch-Domenech, Antoni & Silvestre, Joaquim, 1997. "Credit Constraints in General Equilibrium: Experimental Results," Economic Journal, Royal Economic Society, vol. 107(444), pages 1445-64, September.
- Bosch-Domenech, A. & Silvestre, J., 1995. "Credit Constraint in General Equilibrium: Experimental Results," Department of Economics 95-07, California Davis - Department of Economics.
- Antoni Bosch-Domènech & Joaquim Silvestre, 1996. "Credit constraints in general equilibrium: Experimental results," Economics Working Papers 105, Department of Economics and Business, Universitat Pompeu Fabra.
- Joaquim Silvestre & Antoni Bosch-Domenech, 2004. "Credit Constraints In General Equilibrium: Experimental Results," Working Papers 957, University of California, Davis, Department of Economics.
- C92 - Mathematical and Quantitative Methods - - Design of Experiments - - - Laboratory, Group Behavior
- D40 - Microeconomics - - Market Structure and Pricing - - - General
- D44 - Microeconomics - - Market Structure and Pricing - - - Auctions
- D51 - Microeconomics - - General Equilibrium and Disequilibrium - - - Exchange and Production Economies
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.:
- Juan P. Nicolini, 1993. "More on the time inconsistency of optimal monetary policy," Economics Working Papers 56, Department of Economics and Business, Universitat Pompeu Fabra.
- Walter Garcia-Fontes & Hugo Hopenhayn, 2000.
"Entry restrictions and the determination of quality,"
Spanish Economic Review,
Springer, vol. 2(2), pages 105-127.
- Walter Garcia Fontes & Hugo Hopenhayn, 1992. "Entry restrictions and the determination of quality," Economics Working Papers 10, Department of Economics and Business, Universitat Pompeu Fabra.
- Xavier Calsamiglia & Alan Kirman, 1991.
"A unique informationally efficient and decentralized mechanism with fair outcomes,"
Economics Working Papers
7, Department of Economics and Business, Universitat Pompeu Fabra.
- Calsamiglia, Xavier & Kirman, Alan, 1993. "A Unique Informationally Efficient and Decentralized Mechanism with Fair Outcomes," Econometrica, Econometric Society, vol. 61(5), pages 1147-72, September.
- Riedl, Arno & Winden, Frans van, 2007.
"An experimental investigation of wage taxation and unemployment in closed and open economies,"
Open Access publications from Maastricht University
urn:nbn:nl:ui:27-16447, Maastricht University.
- Riedl, Arno & van Winden, Frans, 2007. "An experimental investigation of wage taxation and unemployment in closed and open economies," European Economic Review, Elsevier, vol. 51(4), pages 871-900, May.
- Arno Riedl & Frans van Winden, 0000. "An Experimental Investigation of Wage Taxation and Unemployment in Closed and Open Economies," Tinbergen Institute Discussion Papers 00-112/1, Tinbergen Institute.
- Roberto Ricciuti, 2004.
"Bringing Macroeconomics into the Lab,"
ICER Working Papers
26-2004, ICER - International Centre for Economic Research.
- Roberto Ricciuti, 2005. "Bringing Macroeconomics into the Lab," Labsi Experimental Economics Laboratory University of Siena 004, University of Siena.
- Roberto Ricciuti, 2003. "Bringing Macroeconomics into the Lab," Royal Holloway, University of London: Discussion Papers in Economics 03/9, Department of Economics, Royal Holloway University of London, revised Dec 2003.
- repec:fee:wpaper:1201 is not listed on IDEAS
- John Hey & Daniela Cagno, 1998. "Sequential Markets: An Experimental Investigation of Clower's Dual-Decision Hypothesis," Experimental Economics, Springer, vol. 1(1), pages 63-85, June.
- Steven Gjerstad & Jason M. Shachat, 2007. "Individual Rationality and Market Efficiency," Purdue University Economics Working Papers 1204, Purdue University, Department of Economics.
- Shachat, Jason & Zhang, Zhenxuan, 2012.
"The Hayek hypothesis and long run competitive equilibrium: an experimental investigation,"
39579, University Library of Munich, Germany.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Thomas Krichel).
If references are entirely missing, you can add them using this form.