I construct a macroeconomic model with a financial sector in which the severity of financial downturns depends on size differences in the banking sector and average bank leverage. In my model, a more concentrated banking sector deepens and prolongs financial downturns for two reasons: returns on assets decrease more, and banks sharply decrease the liquidity supply in the interbank market. Calib...

This study focused to identify the likelihood factors affecting on farmers’ higher gain from paddy marketing in the North Central Province of Sri Lanka, where the main paddy cultivation area of the country. The required data was drawn from the field survey carried out in three irrigation systems covering 257 farmers during July to August 2010. The empirical logit model was used to assess factor...

Whether for the purpose of national policy setting or for localized targeting, understanding the welfare dynamics of a population is essential for the efficient allocation of limited resources as well as to avert unintended consequences. However, the literature on welfare dynamics largely focuses on population means and two-technology economies, either by restricting analyses to single asset ec...

Given the rapid development of the banking sector, it is reasonable to expect that the performance of banks has become the centre of attention among bank managers, stakeholders, policy makers, and regulators. In order to maximizing the share-holders’ satisfactory level, two bank efficiency measurement approaches, i.e. the production approach and the user cost approach, which are financial evalu...

This paper shows that an increase in corporate/labor/income tax rates may push an economy with tax evasion into an expansionary pattern, under increasing returns to scale. These effects would be reversed when the steady state is saddle-path stable. This model does not undertake a full identification. The interesting feature of our results is that fiscal policy in an economy with a significant u...