…real rates of the 1970’s are nothing unusual. But is there a model to explain the 0.48 slope of the trend line. Yes, there is… My Effective Demand policy rule…

…? Old Keynesian models are not academic any more — they are not allowed in peer reviewed journals. They are also used by Krugman (along with new Keynesian models and…

…model to expand the variables for assessing the effective demand limit upon production. Today a new variable is added to the mix with interesting results… Here is the graph that…

For those who have read this series of posts, you have seen the evolution of an Effective Demand model. At the end of this post, you decide if the model…

…stagnation after the jump, but here I just note that it is appropriately long. A model adicted economist would look at one possible explanation and assume away all the others….

…The turnover model reconciles the two apparently contradictory results. This also works in a work/shirk that is moral hazard efficiency wage model in which high wages are needed so that…

Yesterday a paper came out by John Williams and Thomas Laubach called, Measuring the Natural Rate of Interest Redux. They presented their model to determine the natural real rate of…

…underlying calculations. After a collaborative effort by Franz Lischka, Georg Vrba, Dwaine van Vuuren and Kishor Bhatia to model the calculation, Georg discovered the actual formula in a 1999 article…

…of policy relevance. In this case, public investment crowds out private investment. I presented a model in which this is definitely a good thing as the very low safe real…

…found his paper to be a model of clarity and caution), there are reasons to worry about whether monetary policy really has the growth and jobs punch the model says…