Macroeconomic Theories And Policies For The 1990s

The authors of this book argue that the "Scandinavian Model" could be a starting point for a more relevant theory of macroeconomics. The importance of macro dynamics is also stressed for the understanding of inflation, growth and distribution.

These new essays cover aspects of monetary theory as well as monetary policy, the prime objective being the development of intellectual tools in order to find new ways of thinking to existing and new monetary problems in an increasingly unstable world economy marked by rapid and often unexpected changes, partly caused by the disappearance of boundaries for financial transactions. By challenging the orthodox paradigms in monetary economics and generating controversy, the volume will be an essential reference point for economists, central and commercial bankers, businessmen and politicians.

For courses in Intermediate Macroeconomics. Macroeconomics traces the history, evolution, and challenges of Keynesian economics, presenting a comprehensive, detailed, and unbiased view of modern macroeconomic theory.

Covers trends from 1957 to 1995.

This open text provides complete, concise coverage of introductory macroeconomic theory and policy. It examines the Canadian economy as an economic system, and embeds current Canadian institutions and approaches to monetary policy and fiscal policy within that system. Particular attention is given to the recent structure, performance, and evolution of the Canadian economy, and to the current targets and instruments of Canadian monetary and fiscal policy.These are exciting and challenging times in which to study macroeconomics. We focus on short-run macroeconomic performance, analysis, and policy motivated by the recessions of the early 1980s and 1990s, the financial crisis and recession of 2008-2009, and the prolonged recovery in most industrial countries. To that end, the text examines macroeconomic institutions, performance, and policies in ways that help students understand and evaluate critically the news media coverage and broader public discussion of:- Recessions and recoveries, unemployment, inflation, deflation and conditions in financial markets-topics of ongoing reporting, discussion, and debate.- Monetary and fiscal policy announcements and discussions focused on inflation targets, interest rate settings, budget balances, tax rates, expenditures, and public debt targets as these affect economic performance.- Exports, imports, international capital flows, foreign exchange rates, and the importance of the international sector of the Canadian economy.- Economic growth, productivity growth, and the importance of productivity growth for standards of living in Canada and other countries.A traditional Aggregate Demand and Supply model is introduced to provide a consistent analytical framework for development of sector topics that follow. The analysis builds on a study of short-run business cycle fluctuations in output and employment, under constant equilibrium price conditions. The balance of payments, exchange rate policy, and monetary and fiscal policy under different exchange rate systems complete the short-run open economy model.A basic modern Aggregate Demand and Supply model of output and the inflation rate is also developed based on:- Current Canadian monetary policy based on inflation targets, interest rate policy instruments, and current Bank of Canada operating techniques, including the potential for quantitative or credit easing.- Current Canadian fiscal policy based on deficit and debt control targets, the government's budget function, the temporary shift to fiscal stimulus in 2009 and the implications for budget balances and the public debt.Numerical examples, diagrams, and basic algebra are used in combination to illustrate and explain economic relationships. Students learn about the importance of trade flows, consumption; government budgets; money supply; financial asset prices, yields, and interest rates; employment and unemployment; and other key relationships in the economy. Canadian and selected international data are used to provide real world examples and comparisons.The text is supported by Lyryx Learning, offering editorial services to develop and adapt open content, formative online assessment, course supplements, and support to both the students and instructors.

We are now living in a period of disillusion in the ability of economic policy to stabilise the economy. This is proven by the onset of severe world recession in the early 1980s and the inability to invert the negative phase of the business cycle under way in the industrialized countries in the early 1990s. The failure of old policies motivates the research into the causes of economic fluctuations and their measurement whose results are published in this volume