Economic Models: Methods, Theory and Applications

248 Pages·2009·2.48 MB·English

by  Dipak Basu

ECONOMIC MODELS
Methods, Theory
and Applications
TThhiiss ppaaggee iinntteennttiioonnaallllyy lleefftt bbllaannkk
ECONOMIC MODELS
Methods, Theory
and Applications

editor
Dipak Basu
Nagasaki University, Japan
World Scientific
NEW JERSEY • LONDON • SINGAPORE • BEIJING • SHANGHAI • HONG KONG • TAIPEI • CHENNAI
Published by
World Scientific Publishing Co. Pte. Ltd.
5 Toh Tuck Link, Singapore 596224
USA office: 27 Warren Street, Suite 401-402, Hackensack, NJ 07601
UK office: 57 Shelton Street, Covent Garden, London WC2H 9HE
British Library Cataloguing-in-Publication Data
A catalogue record for this book is available from the British Library.
ECONOMIC MODELS
Methods, Theory and Applications
Copyright © 2009 by World Scientific Publishing Co. Pte. Ltd.
All rights reserved. This book, or parts thereof, may not be reproduced in any form or by any means,
electronic or mechanical, including photocopying, recording or any information storage and retrieval
system now known or to be invented, without written permission from the Publisher.
For photocopying of material in this volume, please pay a copying fee through the Copyright
Clearance Center, Inc., 222 Rosewood Drive, Danvers, MA 01923, USA. In this case permission to
photocopy is not required from the publisher.
ISBN-13 978-981-283-645-8
ISBN-10 981-283-645-4
Typeset by Stallion Press
Email: [email protected]
Printed in Singapore.
Sherry - Economic Models.pmd 1 9/2/2009, 7:10 PM
March16,2009 16:52 WSPC/TrimSize:9inx6in SPI-B692 EconomicModels b692-fm
ThisVolumeisDedicatedtotheMemoryof
Prof.TomOskarMartinKronsjo
March16,2009 16:52 WSPC/TrimSize:9inx6in SPI-B692 EconomicModels b692-fm
TThhiiss ppaaggee iinntteennttiioonnaallllyy lleefftt bbllaannkk
March16,2009 16:52 WSPC/TrimSize:9inx6in SPI-B692 EconomicModels b692-fm
Contents
TomOskarMartinKronsjo:AProfile ix
AbouttheEditor xiii
Contributors xv
Introduction xix
Chapter1:MethodsofModelling:Mathematical 1
Programming
Topic1:SomeUnresolvedProblemsofMathematical 3
Programming
byOlavBjerkholt
Chapter2:MethodsofModeling:Econometrics 21
andAdaptiveControlSystem
Topic1:ANovelMethodofEstimationUnderCo-Integration 23
byAlexisLazaridis
Topic2:TimeVaryingResponsesofOutputtoMonetary 43
andFiscalPolicy
byDipakR.BasuandAlexisLazaridis
Chapter3:MathematicalModelinginMacroeconomics 67
Topic1:TheAdvantagesofFiscalLeadershipinanEconomy 69
withIndependentMonetaryPolicies
byAndrewHughesHallet
Topic2:Cheap-TalkMultipleEquilibriaandPareto— 101
ImprovementinanEnvironmentalTaxationGames
byChirstopheDeissenbergandPavelSˇevcˇ´ık
vii
March16,2009 16:52 WSPC/TrimSize:9inx6in SPI-B692 EconomicModels b692-fm
viii Contents
Chapter4:ModelingBusinessOrganization 119
Topic1:EnterpriseModelingandIntegration:Review 121
andNewDirections
byNikitasSpirosKoutsoukis
Topic2:TowardaTheoryofJapaneseOrganizationalCulture 137
andCorporatePerformance
byVictoriaMiroshnik
Topic3:HealthServiceManagementUsingGoalProgramming 151
byAnna-MariaMouza
Chapter5:ModelingNationalEconomies 171
Topic1:InflationControlinCentralandEasternEuropean 173
Countries
byFabrizioIaconeandRenzoOrsi
Topic2:CreditandIncome:Co-IntegrationDynamics 201
oftheUSEconomy
byAthanasiosAthanasenas
Index 223
March16,2009 16:52 WSPC/TrimSize:9inx6in SPI-B692 EconomicModels b692-fm
Tom Oskar Martin Kronsjo:A Profile
LydiaKronsjo
UniversityofBirmingham,England
Tom Kronsjo was born in Stockholm, Sweden, on 16 August 1932, the
only child of Elvira and Erik Kronsjo. Both his parents were gymnasium
teachers.
In his school days Tom Kronsjo was a bright, popular student, often
a leader among his school contemporaries and friends. During his school
years, he organized and chaired a National Science Society that became
verypopularwithhisschoolcolleagues.
From an early age, Tom Kronsjo’s mother encouraged him to learn
foreignlanguages.Heputthesestudiestoagoodtestduringa1948summer
vacationwhenhehitch-hikedthroughDenmark,Germany,theNetherlands,
England, Scotland, Ireland, France, and Switzerland.The same yearTom
Kronsjofoundedandchairedatechnicalsocietyinhisschool.Inthesummer
vacation of 1949, Tom Kronsjo organized an expedition to North Africa
by seven members of the technical society, their ages being 14–24. The
youngpeopletraveledbycoachthroughtheausterepost-SecondWorldWar
Europe. All the equipment for travel, including the coach, were donated
by sympathetic individuals and companies, who were impressed by an
intelligent,enthusiasticgroupofyoungsters,eagertolearnabouttheworld.
ThiseventcaughtawideinterestintheSwedishpressatthattimeandwas
vividlyreported.
TomKronsjousedtomentionthatasaparticularlypersonallyexciting
experienceofhisschoolyearsherememberedvolunteeringtogiveaseries
ofmorningschoolsermonsontheneedfortheworldgovernmentalorgani-
zations, which would encourage and support mutual understanding of the
needsofthepeopletoliveinpeace.
Tom Kronsjo’s university years were spent at both sides of the great
divide.Preparinghimselfforacareerininternationaleconomics,hewanted
to experience and see for himself the different nations’ways of life and
pointsofview.HestudiedinLondon,Belgrade,Warsaw,Oslo,andMoscow,
before returning to his home country, Sweden, to pass examinations and
ix