Asset bubbles, unemployment, and financial market frictions
نویسندگان
چکیده
We develop a tractable infinite horizon model of bubbles and unemployment. Our theoretical analysis proves that stimulate capital accumulation, reduce unemployment, increase consumption. then numerically investigate the impacts credit constraints, labor market conditions, redistribution policy on welfare. numerical investigations show social welfare in bubbly steady state is always greater than bubbleless even under constrained-optimal neutralizes externalities inherent model. Furthermore, we find to extent an economy with stricter constraints.
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ژورنال
عنوان ژورنال: Economic Inquiry
سال: 2022
ISSN: ['0043-3640', '1465-7295', '0095-2583']
DOI: https://doi.org/10.1111/ecin.13101