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Standard-of-Living Aspirations and Economic Cycles

In: Advances in Macroeconomic Theory

Author

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  • David Croix

    (Université Catholique de Louvain)

Abstract

One of the main tasks of macroeconomists is to explain why there are fluctuations in output and employment and why growth is not a steady process.

Suggested Citation

  • David Croix, 2001. "Standard-of-Living Aspirations and Economic Cycles," International Economic Association Series, in: Jacques Drèze (ed.), Advances in Macroeconomic Theory, chapter 13, pages 255-282, Palgrave Macmillan.
    • Handle: RePEc:pal:intecp:978-0-333-99275-3_13
    DOI: 10.1057/9780333992753_13
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    References listed on IDEAS

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    1. Wadhwani, Sushil B & Wall, Martin, 1991. "A Direct Test of the Efficiency Wage Model Using UK Micro-data," Oxford Economic Papers, Oxford University Press, vol. 43(4), pages 529-548, October.
    2. Abel, Andrew B, 1990. "Asset Prices under Habit Formation and Catching Up with the Joneses," American Economic Review, American Economic Association, vol. 80(2), pages 38-42, May.
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    4. Jean-Pierre Urbain & Franz Palm & David de la Croix, 2000. "Labor market dynamics when effort depends on wage growth comparisons," Empirical Economics, Springer, vol. 25(3), pages 393-419.
    5. Jones Charles I., 2001. "Was an Industrial Revolution Inevitable? Economic Growth Over the Very Long Run," The B.E. Journal of Macroeconomics, De Gruyter, vol. 1(2), pages 1-45, August.
    6. John Campbell & Angus Deaton, 1989. "Why is Consumption So Smooth?," The Review of Economic Studies, Review of Economic Studies Ltd, vol. 56(3), pages 357-373.
    7. John Muellbauer, 1988. "Habits, Rationality and Myopia in the Life Cycle Consumption Function," Annals of Economics and Statistics, GENES, issue 9, pages 47-70.
    8. Easterlin, Richard A, 1971. "Does Human Fertility Adjust to the Environment?," American Economic Review, American Economic Association, vol. 61(2), pages 399-407, May.
    9. Solomou, Solomos, 1986. "Non-Balanced Growth and Kondratieff Waves in the World Economy, 1850–1913," The Journal of Economic History, Cambridge University Press, vol. 46(1), pages 165-169, March.
    10. Martin S. Eichenbaum & Lars Peter Hansen & Kenneth J. Singleton, 1988. "A Time Series Analysis of Representative Agent Models of Consumption and Leisure Choice Under Uncertainty," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 103(1), pages 51-78.
    11. Easterlin, Richard A., 1974. "Does Economic Growth Improve the Human Lot? Some Empirical Evidence," MPRA Paper 111773, University Library of Munich, Germany.
    12. repec:bla:kyklos:v:35:y:1982:i:3:p:468-99 is not listed on IDEAS
    13. Constantinides, George M, 1990. "Habit Formation: A Resolution of the Equity Premium Puzzle," Journal of Political Economy, University of Chicago Press, vol. 98(3), pages 519-543, June.
    14. Clark, Andrew E. & Oswald, Andrew J. & Warr, Peter B., 1994. "Is job satisfaction u-shaped in age ?," CEPREMAP Working Papers (Couverture Orange) 9407, CEPREMAP.
    15. Azariadis, Costas, 1996. "The Economics of Poverty Traps: Part One: Complete Markets," Journal of Economic Growth, Springer, vol. 1(4), pages 449-496, December.
    16. Fabrice Collard & David de la Croix, 2000. "Gift Exchange and the Business Cycle: The Fair Wage Strikes Back," Review of Economic Dynamics, Elsevier for the Society for Economic Dynamics, vol. 3(1), pages 166-193, January.
    17. Andrew Postlewaite, 2001. "Social Arrangements and Economic Behavior," Annals of Economics and Statistics, GENES, issue 63-64, pages 67-87.
    18. de la Croix, David & Michel, Philippe, 1997. "Altruism and self-refrain," LIDAM Discussion Papers IRES 1998010, Université catholique de Louvain, Institut de Recherches Economiques et Sociales (IRES), revised 00 Apr 1998.
    19. Aylin Seckin, 2000. "Consumption with Habit Formation," CIRANO Working Papers 2000s-39, CIRANO.
    20. Danthine, Jean-Pierre & Donaldson, John B., 1990. "Efficiency wages and the business cycle puzzle," European Economic Review, Elsevier, vol. 34(7), pages 1275-1301, November.
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    22. Reichlin, Pietro, 1986. "Equilibrium cycles in an overlapping generations economy with production," Journal of Economic Theory, Elsevier, vol. 40(1), pages 89-102, October.
    23. Bewley, Truman F., 1998. "Why not cut pay?," European Economic Review, Elsevier, vol. 42(3-5), pages 459-490, May.
    24. Casper VAN Ewijk, 1982. "A Spectral Analysis Of The Kondratieff‐Cycle," Kyklos, Wiley Blackwell, vol. 35(3), pages 468-499, August.
    25. Easterlin, Richard A., 1995. "Will raising the incomes of all increase the happiness of all?," Journal of Economic Behavior & Organization, Elsevier, vol. 27(1), pages 35-47, June.
    26. Wan, Henry, 1970. "Optimal Saving Programs under Intertemporally Dependent Preferences," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 11(3), pages 521-547, October.
    27. Jan Reijnders, 1990. "Long Waves in Economic Development," Books, Edward Elgar Publishing, number 366.
    28. Ruut Veenhoven, 1994. "Is happiness a trait?," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 32(2), pages 101-160, June.
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    Cited by:

    1. Mohamed Jellal & Francois-Charles Wolff, 2002. "Altruistic Bequests with Inherited Tastes," International Journal of Business and Economics, School of Management Development, Feng Chia University, Taichung, Taiwan, vol. 1(2), pages 95-113, August.

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    More about this item

    Keywords

    Social Capital; Business Cycle; Habit Formation; Poverty Trap; European Economic Review;
    All these keywords.

    JEL classification:

    • E24 - Macroeconomics and Monetary Economics - - Consumption, Saving, Production, Employment, and Investment - - - Employment; Unemployment; Wages; Intergenerational Income Distribution; Aggregate Human Capital; Aggregate Labor Productivity
    • E32 - Macroeconomics and Monetary Economics - - Prices, Business Fluctuations, and Cycles - - - Business Fluctuations; Cycles
    • O41 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - One, Two, and Multisector Growth Models

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