By D. W. Challen
ISBN-10: 0312503156
ISBN-13: 9780312503154
ISBN-10: 0333310845
ISBN-13: 9780333310847
ISBN-10: 1349279315
ISBN-13: 9781349279319
ISBN-10: 2222222222
ISBN-13: 9782222222224
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Extra resources for Macroeconometric Systems: Construction, Validation and Applications
Example text
1954) 'Stabilization Policy in a Closed Economy', Economic Journal, vol. 64, pp. 290-323. W. (1956) 'Some Notes on the Estimation of Time-Forms of Reactions in Interdependent Dynamic Systems', Economica, vol. 23, pp. 99-113. W. (1957) 'Stabilization Policy and the Time-Forms of Lagged Responses', Economic Journal, vol. 67, pp. 265-77. A. ', in J. B. Ramsey (eds), Large-Scale Macro-Econometric Models, North-Holland, Amsterdam. J. (1976) 'A Classical Macroeconometric Model for the United States', Journal of Political Economy, vol.
7), in which the marginal physical product of labour and the real wage are equated, is the condition for profit maximisation under perfect competition. 7), may be listed as follows: 1. The use of a threefold categorisation of aggregate demand in the goods-market component. 2. The treatment of G, W and Ms as exogenous. 3. The absence of 'open-economy' variables and relationships. 4. The absence of lags in the behavioural relationships. 48 Construction of KK Systems 5. The absence of any explicit 'expectational variables'.
An important sub-class of general-equilibrium macroeconometric systems are those which derive from the system developed by Johansen (1960) for the Norwegian economy. Such systems form the WJ family. Another important sub-class are WL systems. These will be discussed below. In the Johansen system the macroeconomy is disaggregated into twenty-three sectors. Twenty-two of these are domestic-production sectors; the remaining sector is a rest-of-the-world sector. e. there are 'competitive' imports of each of the twenty-two domestically produced goods.
Macroeconometric Systems: Construction, Validation and Applications by D. W. Challen
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