Time-Separable Preference and Intertemporal-Substitution Models of Business Cycles

The countercyclical pattern of inventory-sales ratios is a striking feature of inventory behavior. In a model where inventories are productive for sales, both the markup of price over marginal cost and expected changes in marginal cost are key determinants of that ratio. This paper argues that costly variation in factor utilization gives rise to countercyclical markups in production-to-stock manufacturing industries. The markup turns out to be more important than intertemporal substitution in explaining the behavior of inventory-sales ratios. (JEL E22, E32)

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Peculiarities of Modern Dynamics of the Global Economy

Voprosy Ekonomiki ◽

10.32609/0042-8736-2010-9-78-92 ◽

2010 ◽

pp. 78-92 ◽

Cited By ~ 1

Author(s):

V. Klinov

Keyword(s):

Economic Growth ◽

Economic Development ◽

Business Cycles ◽

Global Economy ◽

Long Waves ◽

Rapid Expansion ◽

Business Taxation ◽

Modern World ◽

China And India ◽

World Economic

Rates and factors of modern world economic growth and the consequences of rapid expansion of the economies of China and India are analyzed in the article. Modification of business cycles and long waves of economic development are evaluated. The need of reforming business taxation is demonstrated.

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Institutions as the Ordering Factor and as the Destabilizing Force: New Institutional and Post Keynesian Perspectives

Voprosy Ekonomiki ◽

10.32609/0042-8736-2006-8-102-118 ◽

2006 ◽

pp. 102-118 ◽

Cited By ~ 3

Author(s):

A. Skorobogatov

Keyword(s):

Economic Policy ◽

Business Cycles ◽

Institutional Theory ◽

Institutional Environment ◽

Institutional Arrangements ◽

Economic Stability ◽

Forward Contracts

The paper is dedicated to the New Institutional and Post Keynesian perspectives on institutions and their relation to economic stability. Embeddedness, institutional environment, and institutional arrangements are considered. Within these institutions conventional expectations, the economic policy and forward contracts are analyzed. Upon these perspectives the author shows a contradictory relation between institutions and the order and develops an institutional theory of business cycles.

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