We report on an experiment investigating whether the Hayak Hypothesis (Smith, 1982) extends to the long run setting. We consider two environments; one with a common production technology having a U-shaped long run average cost curve and a single competitive equilibrium, and another with a common constant returns to scale technology having a constant long run average cost curve and multiple comp...

introduction: any rise in health expenditure is the main concern of householders and policymakers. a few studies have been conducted on assessing the determinants of expenditures and environmental quality from a macroeconomic point of view. this paper aimed to investigate the relationship between health expenditure and environmental quality in more than 114 developing countries between 1995 and...

The current OASI program redistributes resource from high wage workers to low wage workers and from two-earner couples to one-earner couples. Due to computational difficulty, however, most previous literature on the dynamic general equilibrium analyses of Social Security assumes “unisex” individuals and does not consider the redistribution between one-earner and two-earner households. In the pr...

Many of the world’s economies experienced rapid structural changes due to globalization and other forces over past 50 years. During this period, developing countries were recipients massive foreign direct investment, their industrialization was accompanied by urbanization, city gigantism, related environmental issues, such as pollution. Over time, investments in education urban poor allowed mov...

The ‘noise trader’ model of De Long et al. provides a plausible account of the determination of the equity premium. Extension of the model to allow for privatization of publicly-owned assets yields insights into the positive political economy of privatization and into the normative question of how policies should be evaluated in the presence of mistaken beliefs. JEL Classification: E62