The Macroeconomics of Imperfect Competition and Nonclearing Markets

Download or read book The Macroeconomics of Imperfect Competition and Nonclearing Markets written by Jean-Pascal Benassy and published by MIT Press. This book was released on 2005-01-14 with total page 296 pages. Available in PDF, EPUB and Kindle. Book excerpt: In this book, Jean-Pascal Benassy attempts to integrate into a single unified framework dynamic macroeconomic models reflecting such diverse lines of thought as general equilibrium theory, imperfect competition, Keynesian theory, and rational expectations. He begins with a simple microeconomic synthesis of imperfect competition and nonclearing markets in general equilibrium under rational expectations. He then applies this framework to a large number of dynamic macroeconomic models, covering such topics as persistent unemployment, endogenous growth, and optimal fiscal-monetary policies. The macroeconomic methodology he uses is similar in spirit to that of the popular real business cycles theory, but the scope is much wider. All of the models are solved "by hand," making the underlying economic mechanisms particularly clear.