The present paper integrates neoclassical offer curves and production theory, introducing utility maximization and trade levels into the comparative static factor proportions model. The paper analyzes production conditions that determine the Metzler paradox that a tariff could lower the tariff inclusive import price. The model provides a more complete link between neoclassical and factor propor...

This paper tries to analyze effects of trade and financial liberalizations on the Iran’s government size during both long-run and short- run. Accordingly, a specification of the auto regression with distributed lag (ARDL) has been used for investigating the long run relationships between variables, and a vector correction model (VECM) has examined dynamically the short-run relationships betwe...

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

We construct a time-series model of investment in Israel that incorporates both traditional economic factors derived from a theoretical model of a profit-maximising representative firm and indicators of political instability and unrest. This is used to estimate the extent to which the Intifada has depressed Israeli investment and the size of the corresponding "peace dividend". JEL Classificatio...

This article presents a formalization of knowledge based on a connectionist model of a firm’s structure. Transaction costs are not ignored, but integrated with the knowledge-based approach. A numerical example on the canonical comparison of ”Japanese” versus ”American” organizational structures illustrates the power of the model. JEL Classification: L20, L29, D89

Diffuse competition due to niche overlap between actors without (direct) ties with each other, constrains their structural autonomy. This is not dealt with in Burt’s mathematical model of his well-known structural holes theory. We fix his model by introducing a network measure of niche overlap. © 2002 Elsevier Science B.V. All rights reserved. JEL classification: L0; L1

This paper develops a tractable dynamic term structure models under jump-diffusion and regime shifts with time varying transition probabilities. The model allows for regime-dependent jumps while both jump risk and regime-switching risk are priced. Closed form solution for the term structure is obtained for an affine-type model under loglinear approximation. JEL Classification: G12, E43, E52

JEL classification codes: C51 Model construction and estimation C62 Existence and stability conditions of equilibrium D84 Expectations Speculations This paper proposes the Potluck Problem as a model for the behavior of independent producers and consumers under standardeconomicassumptions, as a problemof resourceallocation inamulti-agent system inwhich there is no explicit communication among th...

A dynamic microsimulation model of cohort earnings based on the Australian population aged between 20 and 55 years is described. A highly parsimonious modular structure is adopted to facilitate sensitivity analysis and enable additional characteristics to be added, should they be desired. Despite the restrictive specifications used, the model closely reflects the data used for calibration. JEL ...