no code implementations • 20 Mar 2024 • Tomohiro Hirano, Alexis Akira Toda
In contrast, the monetary steady state is locally determinate under fairly weak conditions.
no code implementations • 1 Feb 2024 • Alexis Akira Toda, Kieran James Walsh
This article reviews the recent advances in the uniqueness and multiplicity of competitive equilibria in models arising in mathematical economics, finance, macroeconomics, and trade.
no code implementations • 10 Nov 2023 • Brendan K. Beare, Alexis Akira Toda
We find that consumption immediately drops before rising rapidly to the new stationary equilibrium, which is higher on average than initial consumption for workers but lower for entrepreneurs.
no code implementations • 7 Nov 2023 • Tomohiro Hirano, Alexis Akira Toda
This article provides a self-contained overview of the theory of rational asset price bubbles.
no code implementations • 1 Oct 2023 • Tjeerd de Vries, Alexis Akira Toda
How should financial institutions hedge their balance sheets against interest rate risk when they have long-term assets and liabilities?
no code implementations • 27 Sep 2023 • Christopher P. Chambers, Alexis Akira Toda
We prove that when individual firms employ constant-returns-to-scale production functions, the aggregate production function defined by the maximum achievable total output given total inputs is always linear on some part of the domain.
no code implementations • 1 Jul 2023 • Tomohiro Hirano, Alexis Akira Toda
We study the long-run behavior of land prices when land plays the dual role of factor of production and store of value.
no code implementations • 5 Jun 2023 • Alexis Akira Toda
In a series of papers, Ole Peters and his collaborators claim that the 'conceptual basis of mainstream economic theory' is 'flawed' and that the approach they call 'ergodicity economics' gives 'reason to hope for a future economic science that is more parsimonious, conceptually clearer and less subjective' (Peters, 2019).
no code implementations • 14 May 2023 • Tomohiro Hirano, Alexis Akira Toda
Asset price bubbles are situations where asset prices exceed the fundamental values defined by the present value of dividends.
no code implementations • 20 Mar 2023 • Tomohiro Hirano, Alexis Akira Toda
We analyze equilibrium housing prices in an overlapping generations model with perfect housing and rental markets.
no code implementations • 10 Mar 2023 • Tomohiro Hirano, Alexis Akira Toda
Existing models of rational pure bubble models feature multiple (and often a continuum of) equilibria, which makes model predictions and policy analysis non-robust.
no code implementations • 23 Nov 2022 • Tomohiro Hirano, Ryo Jinnai, Alexis Akira Toda
We present a general equilibrium macro-finance model with a positive feedback loop between capital investment and land price.
no code implementations • 11 Aug 2022 • Longjian Li, Alexis Akira Toda
We study a game between $N$ job applicants who incur a cost $c$ (relative to the job value) to reveal their type during interviews and an administrator who seeks to maximize the probability of hiring the best.
no code implementations • 9 Jun 2022 • Ji Hyung Lee, Yuya Sasaki, Alexis Akira Toda, Yulong Wang
Accurately estimating income Pareto exponents is challenging due to limitations in data availability and the applicability of statistical methods.
no code implementations • 12 Apr 2022 • Ji Hyung Lee, Yuya Sasaki, Alexis Akira Toda, Yulong Wang
Administrative data are often easier to access as tabulated summaries than in the original format due to confidentiality concerns.
no code implementations • 25 Jan 2022 • Joel P. Flynn, Lawrence D. W. Schmidt, Alexis Akira Toda
Under homotheticity, the REMV always equals one, so the propensity of the agent to save or dis-save is always signed by the relationship of the EIS with unity.
no code implementations • 20 May 2021 • Ji Hyung Lee, Yuya Sasaki, Alexis Akira Toda, Yulong Wang
We develop a novel fixed-k tail regression method that accommodates the unique feature in the Forbes 400 data that observations are truncated from below at the 400th largest order statistic.
1 code implementation • 9 Apr 2021 • Thomas Phelan, Alexis Akira Toda
We analyze equilibrium behavior and optimal policy within a Susceptible-Infected-Recovered epidemic model augmented with potentially undiagnosed agents who infer their health status and a social planner with imperfect enforcement of social distancing.
no code implementations • 25 Mar 2021 • Alexis Akira Toda
This paper shows the usefulness of Perov's contraction principle, which generalizes Banach's contraction principle to a vector-valued metric, for studying dynamic programming problems in which the discount factor can be stochastic.
no code implementations • 28 Sep 2020 • Alexis Akira Toda
Carroll and Kimball (1996) have shown that, in the class of utility functions that are strictly increasing, strictly concave, and have nonnegative third derivatives, hyperbolic absolute risk aversion (HARA) is sufficient for the concavity of consumption functions in general consumption-saving problems.
no code implementations • 3 Jun 2020 • Tjeerd de Vries, Alexis Akira Toda
We estimate capital and labor income Pareto exponents across 475 country-year observations that span 52 countries over half a century (1967-2018).
no code implementations • 6 May 2020 • Gregory Gutin, Tomohiro Hirano, Sung-Ha Hwang, Philip R. Neary, Alexis Akira Toda
How does social distancing affect the reach of an epidemic in social networks?
no code implementations • 21 Feb 2020 • Qingyin Ma, Alexis Akira Toda
We prove that the consumption functions in optimal savings problems are asymptotically linear if the marginal utility is regularly varying.
no code implementations • 5 Dec 2017 • Brendan K. Beare, Alexis Akira Toda
This article contains new tools for studying the shape of the stationary distribution of sizes in a dynamic economic system in which units experience random multiplicative shocks and are occasionally reset.