This paper presents a parsimonious equilibrium business cycle model with trade frictions in the product and labor markets. The model features unemployment and unsold production and its general equilibrium can be represented very simply: as the intersection of an aggregate supply and an aggregate demand, with product market tightness acting as a price. The aggregate supply represents the expecte...

The paper starts with a brief criticism of macroeconomic analyses of different schools of thought for their focus on economic growth and maximisation of output. This applies to the traditional Keynesian approach, which has focused on the achievement of sufficient aggregate demand to underpin full employment and full capacity utilisation, down-playing aggregate supply constraints. This also appl...

This paper presented an application of Fuzzy mathematical programming model to solve network design problems for supply chains via considering aggregate production planning (APP). APP goals to minimize all costs through optimal levels of production, subcontracting, inventory, backorder and work levels over a time period to meet the demand. Fuzzy logic was applied to solve the uncertain producti...

The response of agriculture to changes in relative prices is an important factor in the success of structural adjustment programs in Africa. In this paper I estimate supply functions for total agricultural output, food crops and export crops in 14 African countries for the years 1975 to 1990. Food and export crops are substitutes in production in the short run. Total agricultural output respond...

W hether the United Kingdom (UK) should remain in the European Union (EU) or not has been a fiercely debated issue both before and after the referendum in the UK on June 23, 2016. The main purpose of this paper is to evaluate the pros and cons of the UK leaving the EU. It is concluded that if the UK leaves the EU, the resulting economic shock would risk adverse effects on macroecono...

An anti-capitalist cultural bias, through directed within-family human capital transmission, adversely affects the supply of entrepreneurial talent and risk-taking. This limits economic progress if aggregate productivity is low. When productivity is high, economic incentives can overcome cultural inertia. Though the income level depends on culture, the growth rate in this case does not. JEL Cod...

We quantify the amount of spatial misallocation of labor across US cities and its aggregate costs. Misallocation arises because high productivity cities like New York and the San Francisco Bay Area have adopted stringent restrictions to new housing supply, effectively limiting the number of workers who have access to such high productivity. Using a spatial equilibrium model and data from 220 me...

This paper presents a model in which wages throughout the economy depend only on the labour market conditions in some low-unemployment sector. In equilibrium, a labour demand shift towards the primary sector tends to raise the unemployment rate everywhere else in the economy and leaves wages unchanged. Overall this implies an increase in aggregate unemployment. Based on SHIW micro data for the ...