题目：Indeterminacy and E-Stability in Real Business Cycle Models with Factor-Generated Externalities

时间：2010年10月13日星期三 12:00 – 14:00

地点：明德主楼610

报 告 人：薛涧坡

主要内容：This paper provides a solution to the stability puzzle (Evans and McGough, 2005): indeterminacy almost always implies expectational unstability in reduced-form real business cycle (RBC) models. After relaxing the restrictions on the magnitude of capital externalities with Cobb-Douglas technology, we find regions for joint indeterminacy and E-stability in the following cases that i) the felicity function is separable in consumption and leisure and there are negative capital externalities; and ii) the felicity function is non-separable and the social elasticity of production with respect to capital exceeds one. We further show that with the general utility function, a necessary condition for joint indeterminacy and E-stability is that the labor-demand curve is upward-sloping and steeper than the Frisch labor-supply curve.