Publication
Fiscal policy, entry and capital accumulation: hump-shaped responses
| dc.contributor.author | Brito, Paulo | |
| dc.contributor.author | Dixon, Huw | |
| dc.date.accessioned | 2024-04-01T08:27:41Z | |
| dc.date.available | 2024-04-01T08:27:41Z | |
| dc.date.issued | 2012-03-12 | |
| dc.description.abstract | In this paper we consider the entry and exit of firms in a Ramsey model with capital and an endogenous labour supply. At the firm level, there is a fixed cost combined with increasing marginal cost, which gives a standard U-shaped cost curve with optimal firm size. The costs of entry (exit) are quadratic in the flow of new firms. The number of firms becomes a second state variable and the entry dynamics gives rise to a richer set of dynamics than in the standard case: in particular, there is likely to be a hump shaped response of output to a fiscal shock with maximum impact after impact and before steady-state is reached. Output and capital per firm are also likely to be hump shaped. | pt_PT |
| dc.description.version | info:eu-repo/semantics/publishedVersion | pt_PT |
| dc.identifier.citation | Brito, Paulo and Huw Dixon .(2012). “Fiscal policy, entry and capital accumulation : Hump-shaped responses”. Cardiff Business School .Working Paper No. E2012/7. (Search PDF in 2024). | pt_PT |
| dc.identifier.issn | 1749-6101 | |
| dc.identifier.uri | http://hdl.handle.net/10400.5/30498 | |
| dc.language.iso | eng | pt_PT |
| dc.publisher | Cardiff Business School | pt_PT |
| dc.relation.ispartofseries | Cardiff Business School .Working Paper No. E2012/7; | |
| dc.subject | Entry | pt_PT |
| dc.subject | Ramsey | pt_PT |
| dc.subject | Fiscal Policy | pt_PT |
| dc.subject | Macroeconomic Dynamics | pt_PT |
| dc.title | Fiscal policy, entry and capital accumulation: hump-shaped responses | pt_PT |
| dc.type | working paper | |
| dspace.entity.type | Publication | |
| rcaap.rights | openAccess | pt_PT |
| rcaap.type | workingPaper | pt_PT |