IDEAS home Printed from https://ideas.repec.org/
MyIDEAS: Login to save this article or follow this journal

Long Term Effects of Fiscal and Monetary Policy in a Stock-Flow-Consistent Macro-Framework

  • Ulrich van Suntum

    ()

    (Westfälische Wilhelms-Universität Münster, Centrum für angewandte Wirtschaftsforschung, Am Stadtgraben 9, 48143 Münster)

Registered author(s):

    Some fundamental issues of fiscal and monetary policy are discussed within a stock-flow-consistent macroeconomic framework for an open economy. The core of the model is the financial sector with both a capital market and a money market and correspondingly differing interest rates. Further key elements are households which maximize an inter-temporal utility function with respect to both consumption and wealth, profit maximizing firms subject to a production function with decreasing returns to scale, and government expenses funded by both taxes and public debt. Concerning monetary policy, different regimes are discussed, including monetary abstinence, quantitative easing, and monetizing public debt. Typical Keynesian policy measures such as rising wages, expansionary monetary policy, and public deficit spending are also discussed. The main focus is on long term effects of these measures, with the dynamics being only briefly sketched. Because the model is entirely solvable analytically, it may also be useful as a means of didactics.

    To 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.

    Article provided by Credit and Capital Markets in its journal Credit and Capital Markets.

    Volume (Year): 46 (2013)
    Issue (Month): 2 ()
    Pages: 181-212

    as
    in new window

    Handle: RePEc:kuk:journl:v:2:y:2013:i:2:p:181-212
    Contact details of provider: Web page: http://www.credit-and-capital-markets.de/

    No references listed on IDEAS
    You can help add them by filling out this form.

    This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.

    When requesting a correction, please mention this item's handle: RePEc:kuk:journl:v:2:y:2013:i:2:p:181-212. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Credit and Capital Markets)

    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 references are entirely missing, you can add them using this form.

    If the full references list an item that is present in RePEc, but the system did not link 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 profile, as there may be some citations waiting for confirmation.

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

    This information is provided to you by IDEAS at the Research Division of the Federal Reserve Bank of St. Louis using RePEc data.