Semantic Scholar Open Access 2001 1084 sitasi

Habit Persistence, Asset Returns, and the Business Cycle

M. Boldrin Lawrence J. Christiano Jonas D. M. Fisher

Lihat Sumber DOI

Abstrak

Two modifications are introduced into the standard real-business-cycle model: habit preferences and a two-sector technology with limited intersectoral factor mobility. The model is consistent with the observed mean risk-free rate, equity premium, and Sharpe ratio on equity. In addition, its business-cycle implications represent a substantial improvement over the standard model. It accounts for persistence in output, comovement of employment across different sectors over the business cycle, the evidence of "excess sensitivity" of consumption growth to output growth, and the "inverted leading-indicator property of interest rates," that interest rates are negatively correlated with future output.

Topik & Kata Kunci

Economics

Penulis (3)

M. Boldrin

Lawrence J. Christiano

Jonas D. M. Fisher

Format Sitasi

APA MLA BibTeX

Boldrin, M., Christiano, L.J., Fisher, J.D.M. (2001). Habit Persistence, Asset Returns, and the Business Cycle. https://doi.org/10.1257/AER.91.1.149

Akses Cepat

Lihat di Sumber doi.org/10.1257/AER.91.1.149

Informasi Jurnal

Tahun Terbit: 2001
Bahasa: en
Total Sitasi: 1084×
Sumber Database: Semantic Scholar
DOI: 10.1257/AER.91.1.149
Akses: Open Access ✓