The objective of the paper is to explain the last boom and bust in consumption in Ireland by the failure of consumers to correctly distinguish permanent changes in productivity from temporary changes. It uses a business cycle model, where agents update their beliefs about long-run productivity using information -that they receive continuouslyabout the future state of the economy. The analysis f...

The increase in equity prices over the 1990s has to a large degree been attributed to permanently higher productivity growth that is derived from the ‘new economy’ and related research and development (R&D) expenditures. This paper establishes a rational expectations model of technology innovations and equity prices, which shows that under plausible assumptions, productivity advances can only h...

The sharp increase in equity prices over the 1990s was widely attributed to permanently higher productivity growth derived from the New Economy. This paper establishes a rational expectations model of technology innovations and equity prices, which shows that under plausible assumptions, productivity advances can only have temporary effects on the fundamentals of equity prices. Using historical...

Rational junk-food consumption is analyzed within an expected lifetime utility maximizing framework in which longevity and productivity rise with health, and health deteriorates with junk-food consumption. As long as the junk food’s relative taste-price differential is positive, the consumer’s rational diet deviates from the physiologically optimal one and generates lower than maximal levels of...

As a new product resulting from the deep integration of financial industry and artificial intelligence (AI) technology, technology (fintech) has significant impact on progress green total factor productivity (GTFP). Based city-level data 2011 to 2021 in China, this paper used super-efficiency SBM model with embedded non-expected output GML index method measure GTFP levels 283 prefecture-level a...