Business Economics articles from April 2008

Business Economics archives from April 2008

From the editor.(Editorial)
April 1, 2008... In the first article of this issue, Diane K. Schooley and Debra Drecnik Worden use survey data to explore the wealth effect on household consumption within the context of the behavioral life-cycle model of savings. The use of this disaggregated...

A behavioral life--cycle approach to understanding the wealth effect: the influence of wealth on spending depends on the type of wealth and who holds it.
April 1, 2008... The somewhat surprising strength in consumer spending in recent years has focused renewed attention on the much-debated wealth effect, the notion that when individuals feel wealthier, they consume more. This study utilizes survey data to...

The depoliticization of monetary policy: a contemporary test of persistent myths.
April 1, 2008... In the past thirty years, it has been claimed that Republicans tend to favor relatively restrictive monetary policy while Democrats favor relatively accommodative monetary policy. Another claim is that, regardless of which political party is in...

The puzzle of manufacturing sector investment: is the lag behind its drivers more apparent than real?
April 1, 2008... Investment in the manufacturing sector has lagged behind the rise in profits, cash flow, overall manufacturing activity and other drivers of investment since 2002. After reviewing several benchmarks that illustrate the lag in investment,...

The great inflation: inflation, inflationary expectations, and the Phillips cycle 1960-2002: improvements in monetary policy tamed inflation once--can they do it again?
April 1, 2008... Given the ongoing concern with controlling inflation, it is timely to take another look at the "Great Inflation" of 1966-1983 and to try to understand the process that led to ever-higher peaks of inflation and interest rates. How was this...

The effects of education on the natural rate of unemployment.
April 1, 2008... This study develops a natural unemployment rate based upon education attainment. Behind this natural rate are labor force participation rates that vary positively with education attainment; observed unemployment rates that are inversely related...

Fiscal realities for the state and local governments: what you don't know will hurt you; what you can learn will help you.
April 1, 2008... The U.S. economic slump of 2008, as usual for all economic slumps, has taken a dramatic toll on state and local government revenues and budget surpluses. As predictable as this is when properly modeled, states in particular have been even less...

Regulatory rules and estimating economic growth: two perspectives on expensing employee stock options (1).(FOCUS ON STATISTICS)
April 1, 2008... Users of government economic statistics may be surprised to learn that not all are direct products of purpose-designed surveys. Financial statements, tax records, administrative regulatory data, and private-industry records are important...

The global market for buses, 2000-2010 (1).(FOCUS ON INDUSTRIES AND MARKETS)
April 1, 2008... The global demand for autobuses reached the 286,000-unit mark in 2005 and should rise to 352,000 units by 2010. This represent s a growth rate of 4.2 percent compared to a rise of 3.7 percent in the previous five-year period. Much of the growth...

The Age of Turbulence: Adventures in a New World.(Book review)
April 1, 2008... By Alan Greenspan. 2007. New York, NY: Penguin Press, Pp. 544, $35.00 hardcover. In his recent memoir, The Age of Turbulence, former Federal Re-serve Chairman Alan Creenspan is conflicted about the merits of capitalism. On the one hand, he...

Taxing Ourselves: A Citizen's Guide to the Debate over Taxes, fourth edition.
April 1, 2008... By Joel Slemrod and Jon Bakija. 2008. Cambridge, MA: MIT Press, Pp. 384, $22.95, paperback. Taxing Ourselves is a modern classic in tax economics. The new fourth edition is an extensive revision of this excellent and popular book. It now...