Alain Venditti
Biographic Data
| ID | 5929019 |
|---|---|
| NAME | Alain Venditti |
| GIVEN NAMES | Alain |
| FAMILY NAME | Venditti |
| SIGNATURE | VENDITTI A |
| AFFILIATIONS | Centre National de la Recherche Scientifique |
| VERIFIED | No |
| TOTAL WORKS | 37 |
| TOTAL CITATIONS | 4 |
| AUTHOR COUNT | 35 |
| EDITOR COUNT | 2 |
| FIRST PUBLICATION YEAR | 1996 |
| LATEST PUBLICATION YEAR | 2021 |
| H-INDEX | 1 |
Advances in growth and macroeconomic dynamics
Growth and instability in a small open economy with debt
Remembering Carine Nourry
Competitive equilibrium cycles for small discounting in discrete-time two-sector optimal growth models
We study the existence of endogenous competitive equilibrium cycles under small discounting in a two-sector discrete-time optimal growth model. We provide precise concavity conditions on the indirect utility function leading to the existence of period-two cycles with a critical value for the discount factor that can be arbitrarily close to one. Contrary to the continuous-time case where the existence of periodic-cycles is obtained if the degree o…
A Note on Balanced-Budget Income Taxes and Aggregate (In)stability in Multi-Sector Economies
We examine the impact of balanced-budget labor income taxes on the existence of expectation-driven business cycles in a two-sector version of the Schmitt-Grohé and Uribe (SGU) [(1997) Journal of Political Economy 105, 976–1000] model with constant government expenditures and counter-cyclical taxes. Our results show that the destabilizing impact of labor income taxes strongly depends on the capital intensity difference across sectors. Local indete…
Growth and Public Debt
The interplay between growth and public debt is addressed considering a Barro‐type (1990) endogenous growth model where public spendings are financed through taxes on income and public debt. The government has a target level of public debt relative to GDP, and the long‐run debt‐to‐GDP ratio is used as a policy parameter. We show that when debt is a large enough proportion of GDP, two distinct balanced‐growth paths (BGPs) may coexist, one being in…
Sunspot Fluctuations in Two-Sector Models with Variable Income Effects
Collateral and growth cycles with heterogeneous agents
Sunspots and Non-Linear Dynamics
Nonseparable Preferences Do Not Rule Out Aggregate Instability Under Balanced-Budget Rules
We investigate the role of nonseparable preferences in the occurrence of macroeconomic instability under a balanced-budget rule where government spending is financed by a tax on labor income. Considering a one-sector neoclassical growth model with a large class of nonseparable utility functions, we find that expectations-driven fluctuations occur easily when consumption and labor are Edgeworth substitutes or weak Edgeworth complements. Under thes…
Indeterminacy and sunspots in two-sector RBC models with generalized no-income-effect preferences
Public Spending as a Source of Endogenous Business Cycles in a Ramsey Model With Many Agents
We introduce public spending, financed through income taxation, into the Ramsey model with heterogeneous agents. Public spending as a source of welfare generates more complex dynamics. In contrast to previous contributions focusing on similar models but with wasteful public spending, limit cycles through Hopf bifurcation and expectation-driven fluctuations appear if the degree of capital–labor substitution is high enough to be compatible with cap…
Aggregate instability under balanced-budget consumption taxes
Global Externalities, Endogenous Growth and Sunspot Fluctuations
Over the last decade, a large literature has focussed on the existence of local indeterminacy, i.e. a continuum of equilibrium paths converging toward a steady state, and sunspot fluctuations in endogenous growth models. These studies provide a possible explanation of the facts that economic growth rates are volatile over time and dispersed across countries. Within infinite-horizon two-sector models, the occurrence of multiple equilibrium paths i…
Indeterminacy in Discrete-Time Infinite-Horizon Models with Non-linear Utility and Endogenous Labor
Over the last decade, a large number of papers have established the fact that locally indeterminate equilibria and sunspots fluctuations may arise in infinite-horizon growth models with external effects in production. These contributions also show that there exist significant differences between one-sector and two-sector models. As initially established by Benhabib and Farmer (1994), in one-sector models local indeterminacy requires some increasi…
The Inefficient Markets Hypothesis
Existing literature continues to be unable to offer a convincing explanation for the volatility of the stochastic discount factor in real world data. Our work provides such an explanation. We do not rely on frictions, market in completeness or transactions costs of any kind. Instead, we modify a simple stochastic representative agent model by allowing for birth and death and by allowing for heterogeneity in agents' discount factors. We show that …
Local Indeterminacy in Continuous-Time Models
The aim of this paper is to discuss the effect on returns to scale on the local determinacy properties of the steady state in a continuous-time two-sector economy with endogenous labor supply and sector-specific externalities. First we show that when labor is inelastic and the elasticity of intertemporal substitution in consumption is large enough, for any configuration of the returns to scale, local indeterminacy is obtained if there is a capita…
Nonlinear Dynamics in Equilibrium Models
Wealth distribution and output fluctuations
Endogenous Business Cycles in Overlapping-Generations Economies With Multiple Consumption Goods
We consider an overlapping-generations economy with two consumption goods. There are two sectors that produce a pure consumption good and a mixed good that can be either consumed or used as capital. We prove that the existence of Pareto-optimal expectations-driven fluctuations is compatible with standard sectoral technologies if the share of the pure consumption good is low enough. Following Reichlin's [ Journal of Economic Theory 40 (1986), 89–1…
Introduction to Macroeconomic Dynamics Special Issue in Honor of Kazuo Nishimura
Over the past three decades, analysis of dynamics has come to the forefront of macroeconomic theory. A key impetus for progress on this front has been the connections developed between equilibrium growth theory, on one hand, and the field of nonlinear dynamics, on the other. Kazuo Nishimura's work has been at the center of these advances, and the lines of research he initiated remain an exciting area of study for young researchers with strong tec…
Debt, deficits and finite horizons
On efficiency and local uniqueness in two-sector OLG economies
Indeterminacy and expectation-driven fluctuations with non-separable preferences
Optimal Growth and Competitive Equilibrium Business Cycles under Decreasing Returns in Two‐Country Models
This paper investigates the interlinkage in the business cycles of large‐country economies in a free‐trade equilibrium. We consider a two‐country, two‐good, two‐factor general‐equilibrium model with Cobb–Douglas technologies and linear preferences. We also assume decreasing returns in both sectors. We first identify the determinants of each country's accumulation pattern in autarky equilibrium, and secondly we show how a country's business cycle …
Croissance optimale et cycles dans le modèle à générations imbriquées
On étudie les propriétés dynamiques des sentiers optimaux dans un exemple du modèle à générations imbriquées à un secteur dans lequel la fonction d'utilité de l'agent représentatif est non separable. On montre dans cet exemple que le sentier optimal de croissance peut osciller et que des cycles optimaux de période deux peuvent exister. En appliquant ces résultats au modèle avec altruisme, on montre que la condition de legs positif s est parfaitem…
Strong Concavity Properties of Indirect Utility Functions in Multisector Optimal Growth Models
Indeterminacy and endogenous fluctuations in two-sector growth models with externalities
Determinacy of Equilibrium in an Overlapping Generations Model with Heterogeneous Agents
Intersectoral external effects, multiplicities & indeterminacies
Intersectoral Externalities and Indeterminacy
Indeterminacy and the Role of Factor Substitutability
We discuss the role of the elasticity of substitution in the local determinacy properties of a steady state or a stationary balanced growth path in a general multisector economy with CES technologies. Our main results are the following: We give some sufficient conditions for the occurrence of local indeterminacy in exogenous and endogenous growth models. We show that local indeterminacy takes place even without a capital intensity reversal from t…
Indeterminacy in Discrete-Time Infinite-Horizon Models
Wealth inequality, preference heterogeneity and macroeconomic volatility in two-sector economies
Indeterminacy in dynamic models
Capital-labor substitution and indeterminacy in continuous-time two-sector models
Characterization of Equilibrium Paths in a Two-Sector Economy with CES Production Functions and Sector-Specific Externality
Optimal Growth and Competitive Equilibrium Business Cycles under Decreasing Returns in Two‐Country Models
This paper investigates the interlinkage in the business cycles of large‐country economies in a free‐trade equilibrium. We consider a two‐country, two‐good, two‐factor general‐equilibrium model with Cobb–Douglas technologies and linear preferences. We also assume decreasing returns in both sectors. We first identify the determinants of each country's accumulation pattern in autarky equilibrium, and secondly we show how a country's business cycle …
Debt, deficits and finite horizons
On efficiency and local uniqueness in two-sector OLG economies
Indeterminacy and expectation-driven fluctuations with non-separable preferences
Wealth distribution and output fluctuations
Endogenous Business Cycles in Overlapping-Generations Economies With Multiple Consumption Goods
We consider an overlapping-generations economy with two consumption goods. There are two sectors that produce a pure consumption good and a mixed good that can be either consumed or used as capital. We prove that the existence of Pareto-optimal expectations-driven fluctuations is compatible with standard sectoral technologies if the share of the pure consumption good is low enough. Following Reichlin's [ Journal of Economic Theory 40 (1986), 89–1…
Introduction to Macroeconomic Dynamics Special Issue in Honor of Kazuo Nishimura
Over the past three decades, analysis of dynamics has come to the forefront of macroeconomic theory. A key impetus for progress on this front has been the connections developed between equilibrium growth theory, on one hand, and the field of nonlinear dynamics, on the other. Kazuo Nishimura's work has been at the center of these advances, and the lines of research he initiated remain an exciting area of study for young researchers with strong tec…
Global Externalities, Endogenous Growth and Sunspot Fluctuations
Over the last decade, a large literature has focussed on the existence of local indeterminacy, i.e. a continuum of equilibrium paths converging toward a steady state, and sunspot fluctuations in endogenous growth models. These studies provide a possible explanation of the facts that economic growth rates are volatile over time and dispersed across countries. Within infinite-horizon two-sector models, the occurrence of multiple equilibrium paths i…
Indeterminacy in Discrete-Time Infinite-Horizon Models with Non-linear Utility and Endogenous Labor
Over the last decade, a large number of papers have established the fact that locally indeterminate equilibria and sunspots fluctuations may arise in infinite-horizon growth models with external effects in production. These contributions also show that there exist significant differences between one-sector and two-sector models. As initially established by Benhabib and Farmer (1994), in one-sector models local indeterminacy requires some increasi…
The Inefficient Markets Hypothesis
Existing literature continues to be unable to offer a convincing explanation for the volatility of the stochastic discount factor in real world data. Our work provides such an explanation. We do not rely on frictions, market in completeness or transactions costs of any kind. Instead, we modify a simple stochastic representative agent model by allowing for birth and death and by allowing for heterogeneity in agents' discount factors. We show that …
Local Indeterminacy in Continuous-Time Models
The aim of this paper is to discuss the effect on returns to scale on the local determinacy properties of the steady state in a continuous-time two-sector economy with endogenous labor supply and sector-specific externalities. First we show that when labor is inelastic and the elasticity of intertemporal substitution in consumption is large enough, for any configuration of the returns to scale, local indeterminacy is obtained if there is a capita…
Nonlinear Dynamics in Equilibrium Models
Aggregate instability under balanced-budget consumption taxes
Economic theories and models (33 works) · Economics (33 works) · Microeconomics (27 works) · Mathematics (23 works) · Econometrics (17 works) · Mathematical economics (16 works) · Economic Theory and Policy (15 works) · Monetary Policy and Economic Impact (15 works) · Economic Growth and Productivity (13 works) · Externality (13 works)