This paper analyzes the role of nominal assets in ranking intertemporal budget policies in a growing open economy. The budget policies are ranked in terms of the public's intertemporal stock of tax liabilities. Our main result is that, in a small open economy, the valuation of private and public assets is in terms of the exogenous foreign price level under purchasing power parity. This constrai...

This paper considers a small open economy where government pursues debt targeting policy. In this setting, I find the optimal debt targeting rule crucially hinges on the assumption of bond market structure, i.e. whether household can purchase state-contingent bond. In addition, the country’s foreign asset holding and government’s debt level may have substantial impact on the optimal debt target...

small business and entrepreneurship play critical role in stimulating economic activity, creating jobs, alleviating poverty and uplift living standards in africa. it is widely accepted that the micro and small enterprise (mse) sectors have the potential to provide a livelihood for a considerably large number of poor rural and urban women in ethiopia. women account for the larger share of the in...

This paper studies the design of online exchange systems that are operated based on the exchange of tokens, a simple internal currency which provides indirect reciprocity among agents for cooperation. The emphasis is on how the protocol designer should choose a protocol a supply of tokens and suggested strategies to maximize service provision, taking into account that impatient agents will comp...

I propose a bribery model with decentralized bureaucratic decisionmaking. There are multiple stable equilibria: high levels of bribery reduce the economy’s productivity due to suppression of small businesses, and reduces the total graft even though it might increase the individual bribe amount. The coordinated deviation to a better participation equilibrium is impossible due to decentralization...

The analysis in earlier chapters was conducted within the context of a closed economy. Many useful insights into monetary phenomena can be obtained while still abstracting from the linkages that tie di¤erent economies together, but clearly many issues do require an open-economy framework if they are to be adequately addressed. New channels through which monetary factors can in‡uence the economy...

  Poverty is a multi-dimensional problem and various researchers, based on their field, have investigated different aspects of poverty. Moreover, poverty, as a global problem, could be an interesting subject for both developed and developing countries. In recent decades, both international org...

the financial crisis of 2007 showed that the impact of financial markets on macroeconomic developments is deep. the labor market was affected by financial variables. this paper extends the new keynesian model of a stochastic dynamic general equilibrium (dsge) for the iran economy in three context of an open economy, consider a financial frictions and frictions labor market, the impact of financ...

This paper uses a small open economy model to address two outstanding issues in monetary policy: (1) what restrictions on the policy rule ensure that the central bank does not introduce real indeterminacy into the economy, and (2) what is the optimal long run rate of inflation. The small open economy model provides unique insights on both fronts. In the case of determinacy issues, the model’s s...