Knowledge that Transforms

[This paper is designed to make revealed preference an operational tool of research on utility theory. The preference relations are shown in Boolean matrices and digraphs to facilitate the processing of a large quantity of empirical data and to classify different types and degrees of consumer rationality.]

[Once the coefficients of an econometric model have been estimated, the dynamic properties of the resulting system of equations are frequently of interest. In this paper Fourier methods are used to obtain the spectrum matrix of the endogenous variables of the Klein-Goldberger model. The power spectra and coherence and phase relationships implied by the model are derived for selected endogenous variables and are compared with previous results.]

This paper gives explicit consideration to the basic role of monetary institutions in the context of a monetary growth model. The fundamental schema of this article is the following. Inflation will always affect the money rate of interest. Under the assumption that the reserves to demand deposit ratio depends on the money rate of interest, it follows that the ratio of outside money to the money supply will be influenced by inflation and ultimately the long-run equilibrium values of the real variables in a fully employed economy.

This paper presents an empirical analysis of the determinants of negotiated wage changes using a pooled sample of time series observations for fourteen Canadian manufacturing industries. Data on individual contracts are used in an attempt to allow for the discontinuity of wage adjustments given the predominance of collective bargaining and variable contract length. Using a nonlinear formulation, profit levels, the unemployment rate, the rate of change of prices, and other variables are found to be statistically significant. DURING THE PAST decade a considerable amount of econometric research has been devoted to the explanation of movements in wages. Most empirical studies have used a basic disequilibrium model, first suggested by Phillips [11] in which the change in money wage rates is related to the level of unemployment. By relaxing some of the more rigid theoretical assumptions, the basic Phillips curve explanation has been expanded to include a number of other variables such as profits, prices, productivity, employment mix, etc. While many of these studies have provided valuable insights into the wage determining process, the statistical approaches used have often failed to deal adequately with the institutional features of the labor market. These statistical problems are briefly discussed in Section 1 of the paper and our own empirical analysis using data on individual contracts in Canada is presented in Section 2. The main implications of our study for the aggregate Phillips curve are given in Section 3.

[This paper presents formulae for the standard error of forecast of a single equation and the covariance matrix of forecasts of a complete system of equations that are appropriate when the exogenous variables in the forecast period are stochastic. The problems of defining forecast intervals and multidimensional forecast regions are also discussed.]