Artha Vijnana: Journal of The Gokhale Institute of Politics and Economics

Richard J. Cebula

Abstract

This paper seeks to fill a void in the price expectations literature. In particular, it is the purpose of this paper to demonstrate that, if the price expectations of the private sector of the economy are at least in part dependent upon the way in which fiscal policy actions are financed, then the ultimate effect of the fiscal policy actions may be a priority indeterminate.

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Richard J. Cebula

Abstract

There exists a small economics literature which concerns itself with the notion of a negatively sloped labor supply curve in underdeveloped economies.The standard theoretical explanation of a negatively sloped labor supply curve involves two necessary conditions: (1) the notion of counteracting income and substitution effects as money wage rates change and (2) the notion of an income effect which outweighs the substitution effect.

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Richard J. Cebula

Abstract

IN his classic article "Liquidity Preference and the Theory of Interest and Money," Professor Modigliani (1951, p. 208) argues that

If [a] system is stable, each variable approaches some definite value which it will maintain in time until there occurs some change in the form of [a] functional relationship or in some parameter ...

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