scholarly journals Consumption Risk Sharing over the Business Cycle: The Role of Small Firms' Access to Credit Markets

2011 ◽  
Vol 93 (4) ◽  
pp. 1403-1416 ◽  
Author(s):  
Mathias Hoffmann ◽  
Iryna Shcherbakova-Stewen
Keyword(s):  
Business Cycle ◽  
Risk Sharing ◽  
Small Firms ◽  
Credit Markets ◽  
Access To Credit ◽  
Consumption Risk ◽  
The Business Cycle

ASYMMETRY AND THE AMPLITUDE OF BUSINESS CYCLE FLUCTUATIONS: A QUANTITATIVE INVESTIGATION OF THE ROLE OF FINANCIAL FRICTIONS

2016 ◽  
Vol 22 (2) ◽  
pp. 279-306 ◽  
Author(s):  
Manoj Atolia ◽  
John Gibson ◽  
Milton Marquis
Keyword(s):  
Business Cycles ◽  
Business Cycle ◽  
Financial Frictions ◽  
Quantitative Investigation ◽  
Macroeconomic Volatility ◽  
Access To Credit ◽  
Business Cycle Fluctuations ◽  
Key Features ◽  
The Business Cycle

We examine the quantitative significance of financial frictions that reduce firms' access to credit in explaining asymmetric business cycles characterized by disproportionately severe downturns. Using rate spread data to calibrate the severity of these frictions, we successfully match several key features of U.S. data. Specifically, although output and consumption are relatively symmetric (with output being slightly more asymmetric), investment and hours worked display significant asymmetry over the business cycle. We also demonstrate that our financial frictions are capable of significantly amplifying adverse shocks during severe downturns. Although the data suggest that these frictions are only active occasionally, our results indicate that they are still a significant source of macroeconomic volatility over the business cycle.

scholarly journals Inequality over the business cycle: the role of distributive shocks

2021 ◽  
pp. 1-30
Author(s):  
Marius Clemens ◽  
Ulrich Eydam ◽  
Maik Heinemann
Keyword(s):  
Income Inequality ◽  
Income Distribution ◽  
Business Cycle ◽  
Parameter Estimates ◽  
Panel Estimation ◽  
Bayesian Techniques ◽  
Elasticity Of Intertemporal Substitution ◽  
Ex Ante ◽  
The Business Cycle

Abstract This paper examines how wealth and income inequality dynamics are related to fluctuations in the functional income distribution over the business cycle. In a panel estimation for OECD countries between 1970 and 2016, although inequality is, on average countercyclical and significantly associated with the capital share, one-third of the countries display a pro- or noncyclical relationship. To analyze the observed pattern, we incorporate distributive shocks into an RBC model, where agents are ex ante heterogeneous with respect to wealth and ability. We find that whether wealth and income inequality behave countercyclically or not depends on the elasticity of intertemporal substitution and the persistence of shocks. We match the model to quarterly US data using Bayesian techniques. The parameter estimates point toward a non-monotonic relationship between productivity and inequality fluctuations. On impact, inequality increases in response to TFP shocks but subsequently declines. Furthermore, TFP shocks explain 17% of inequality fluctuations.

scholarly journals The Instrumentarium for Sustainable Development of an Enterprise in Conditions of Crisis

2021 ◽  
Vol 4 (519) ◽  
pp. 285-293
Author(s):  
Y. S. Pohorelov ◽  
◽  
G. V. Kozachenko ◽  
Keyword(s):  
Sustainable Development ◽  
Business Cycle ◽  
Continuous Process ◽  
Central Place ◽  
General View ◽  
Stage Of Development ◽  
Crisis Scenarios ◽  
The Business Cycle ◽  
Key Resources

Development as a continuous process should be carried out at all stages of the business cycle of an enterprise. Particular attention should be paid to the development at the downturn stages of the business cycle of the enterprise, in particular in the conditions of crisis in its activities. The focus of the article led to the need to disclose the content of the concepts of «crisis», «development», «sustainable development» and «sustainable development of the enterprise in a crisis». At the descending stages of the business cycle of the enterprise, its development should be fully controlled and carefully managed. To ensure control and manageability of the development of the enterprise in a crisis, an appropriate instrumentarium is needed, wherein the central place belongs to the anti-crisis scenarios of sustainable development and its key resources. Anti-crisis scenarios of sustainable development of the enterprise in a crisis are proposed to be developed on the basis of identified and assessed threats to its activities, taking into account the nature of threats, their interconnectedness and interdependence, as well as the stage of development of each of the threats. Because the implementation of threats to the enterprise’s activities can further aggravate its condition: crisis phenomena are transformed into a crisis situation, which, in turn, threatens to develop into a crisis state. In order to develop an anti-crisis scenario for the development of the enterprise in the situation of the probable simultaneous implementation of several threats to its activities, the use of the method of tuples is proposed. A general view of the tuple for the anti-crisis scenario is presented. The role of key resources in ensuring sustainable development of the enterprise in a crisis is disclosed. The problematic aspects of using key resources in ensuring sustainable development of the enterprise in a crisis are displayed.

scholarly journals Inequality over the Business Cycle – The Role of Distributive Shocks

2020 ◽  
Author(s):  
Marius Clemens ◽  
Ulrich Eydam ◽  
Maik Heinemann
Keyword(s):  
Business Cycle ◽  
The Business Cycle
Sign in / Sign up

Export Citation Format

Share Document