Intertemporal Macroeconomic Models, Money and Rational Choices by GIUSEPPE CHIRICHIELLO
English | 2000 | ISBN: 0333778146 | 296 Pages | PDF | 4 MB
Intertemporal macroeconomics relies on microeconomics and general equilbriumanalysis to describe choices of agents over period of time, perhaps in®nitely long. In particular, the formal modelling of individual choices uses the methods of dynamic optimization or optimal control theory. To this, methods of dynamic macroeconomics, that is of growth theory, are linked and the effects of policy interventions are then examined as the interaction between decisions of agents and policy interventions. This way of approaching macroeconomics sustains a fundamental change of perspective, with respect to the conventional macroeconomics originated from the IS/LM±AD/AS Keynesian foundations.