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Applied Macroeconomics for Public Policy
Camilla Yanushevsky , Rafael Yanushevsky
Applied Macroeconomics for Public Policy applies system and control theory approaches to macroeconomic problems. The book shows how to build simple and efficient macroeconomic models for policy analysis. By using these models, instead of complex multi-criteria models with uncertain parameters, readers will gain new certainty in macroeconomic decision-making. As high debt to GDP ratios cause problems in societies, this book provides insights on improving economies during and after economic downturns.
- Provides a detailed analysis of existing macroeconomic models
- Addresses the dynamics of debt to GDP ratio and the effects of fiscal and monetary policy on this ratio
- Shows how to use models to evaluate the dynamics of the debt to GDP ratio in cases of government spending and tax cuts and to decide whether such economic measures are efficient
- Uses optimal theory to obtain optimal yearly debt levels to reach the established goals (decrease debt or balance budget)
- Provides many examples and software exercises to promote learning by doing
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