Endogenous fluctuations in economic systems with memory

Project Information

Grant agreement ID: FMBI950261

Project closed

Start date 3 June 1996

End date 2 June 1997

Funded under

• Specific research and technological development programme in the field of the training and mobility of researchers, 1994-1998

Total cost No data

EU contribution No data

Coordinated by

CENTRE NATIONAL DE LA RECHERCHE SCIENTIFIQUE
France

Objective

We shall study the dynamical properties of an economic system with memory, populated by heterogeneous agents (workers and capitalists) who, in order to take their decisions, must first form a multiple-step-forward looking forecast. The main objectives are: (i) The study of the possibility of perfect foresight endogenous fluctuations without a dominating income effect and with a relatively high elasticity of substitution between factors. (ii) The study of the possibility and plausibility of the perfect foresight assumption for the economy considered. We shall take into account both the evolutive and the eductive approaches. In the evolutive case we shall study how the structure of agents' heterogeneous beliefs, as well as the forecasting rules they employ, affect the stability properties of the stationary state. In the eductive case we shall study the problem of the rationalisability of agents' beliefs. The two approaches will then be compared.

Programme(s)

• FP4-TMR - Specific research and technological development programme in the field of the training and mobility of researchers, 1994-1998

Topic(s)

• 0302 - Post-doctoral research training grants
• TS04 - Macroeconomics

Call for proposal

Data not available

Funding Scheme

RGI - Research grants (individual fellowships)

Coordinator

CENTRE NATIONAL DE LA RECHERCHE SCIENTIFIQUE

• EU contribution: No data
• Address: Boulevard Jourdan 48 Ecole Normale Supérieure ; 75690 PARIS ; France
• Total cost: No data

Participants (1)

Not available

Italy

• EU contribution: No data
• Total cost: No data