Dynamic Analysis of Two Policy Lags in a Kaldorian Model

We examine the effects of policy lags on local economic stability using a Kaldorian model. This study analyzes two cases: the case of a monetary policy with a time lag and the case of a policy with both fiscal and monetary lags. Similar to the case of fiscal policy lags examined in a previous study,...

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Main Author: Eiji Tsuzuki
Format: Article
Language:English
Published: Wiley 2015-01-01
Series:Discrete Dynamics in Nature and Society
Online Access:http://dx.doi.org/10.1155/2015/927138
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author Eiji Tsuzuki
author_facet Eiji Tsuzuki
author_sort Eiji Tsuzuki
collection DOAJ
description We examine the effects of policy lags on local economic stability using a Kaldorian model. This study analyzes two cases: the case of a monetary policy with a time lag and the case of a policy with both fiscal and monetary lags. Similar to the case of fiscal policy lags examined in a previous study, monetary policy lags have destabilizing effects on economic stability. However, in the case of the existence of both fiscal and monetary policy lags, there is a possibility that a monetary policy lag can stabilize an economy.
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institution Kabale University
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spelling doaj-art-c55c078a442d4aaa8a9112da41ab83632025-08-20T03:24:47ZengWileyDiscrete Dynamics in Nature and Society1026-02261607-887X2015-01-01201510.1155/2015/927138927138Dynamic Analysis of Two Policy Lags in a Kaldorian ModelEiji Tsuzuki0Faculty of Economics, Chiba Keizai University, Chiba 263-0021, JapanWe examine the effects of policy lags on local economic stability using a Kaldorian model. This study analyzes two cases: the case of a monetary policy with a time lag and the case of a policy with both fiscal and monetary lags. Similar to the case of fiscal policy lags examined in a previous study, monetary policy lags have destabilizing effects on economic stability. However, in the case of the existence of both fiscal and monetary policy lags, there is a possibility that a monetary policy lag can stabilize an economy.http://dx.doi.org/10.1155/2015/927138
spellingShingle Eiji Tsuzuki
Dynamic Analysis of Two Policy Lags in a Kaldorian Model
Discrete Dynamics in Nature and Society
title Dynamic Analysis of Two Policy Lags in a Kaldorian Model
title_full Dynamic Analysis of Two Policy Lags in a Kaldorian Model
title_fullStr Dynamic Analysis of Two Policy Lags in a Kaldorian Model
title_full_unstemmed Dynamic Analysis of Two Policy Lags in a Kaldorian Model
title_short Dynamic Analysis of Two Policy Lags in a Kaldorian Model
title_sort dynamic analysis of two policy lags in a kaldorian model
url http://dx.doi.org/10.1155/2015/927138
work_keys_str_mv AT eijitsuzuki dynamicanalysisoftwopolicylagsinakaldorianmodel