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About The Darwinist Business Cycle: Abstract: Economists Have For A Long While Sought Ways To Model The Mechanisms That
This thesis presents a new business cycle theory called the Darwinist Business Cycle Theory (DBCT). DBCT posits that business cycles arise from two mechanisms: 1) real and monetary shocks that give rise to cycles, and 2) the intrinsic dynamics of capitalism which cause endogenous fluctuations. Previous theories have focused on one or the other. DBCT aims to model both and how they interact to generate irregular cycles. Due to scope, only the endogenous mechanism will be modeled. This mechanism explains cycles as less fit firms and concepts being replaced by more adapted ones, akin to Darwinian evolution. The analysis finds some empirical comparisons encouraging but concludes more study is needed to evaluate DBCT and the overall dichotomy framework.
Detailed Information
| Author: | ['Kripa Dutta'] |
|---|---|
| Publication Year: | 2011 |
| Pages: | 32 |
| Language: | English |
| Format: | |
| Price: | FREE |
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