By international standards, New Zealand’s recent business cycle fluctuations are remarkably volatile. Some bivariate regularities observed in developed economies are weak and sometime uncertain. Are these features endemic ...

A decision maker is contemplating an action whose outcome is state dependent. She has a 'prior' over the states of the world and before choosing an action, she can consult an 'expert'. We model the communication game between ...

Bribe chains arise when a hierarchy of corruptible auditors audits taxpayers. We investigate fine and reward structures for breaking bribe chains and establishing income revealing equilibria. We show that no super auditing ...

We examine the most likely strategy of product differentiation by newly entering multinational firms when market reforms begin in a developing economy. We argue that incumbents in a non-contestable protected market do not ...

This paper examines in the context of a developing agrarian economy aspects of the Post Keynesian theories of inflation caused by income distribution conflict and of endogenous money creation. It highlights the ability of ...

Contrary to the view that complex dynamical systems are curiosities at a safe distance from core tenets of economics, it is shown that they undermine a few fundamental constructs and models. The long run macroeconomic ...

Recently the pricing problem of a monopolist producing several different qualities of a product has received some attention in the literature. Mussa and Rosen (1978) studied the optimal product mix of a monopolist producing ...

In a corrupt tax administration a rise in tax rate sets about complicated strategic decision moves by both tax payers as also tax administrators. It is shown that in some circumstances, this may bring about a Laffer like ...

The present work addresses both issues in the context of income tax evasion. About the first it proves a rather strong result, namely that if rewards are related to the evasion detected by an auditor, then (i) no level of ...

This paper aims to explain from within mainstream theory why incorporating the rational expectations hypothesis in new classical macroeconomics leads to stable market equilibria, while other branches within the mainstream ...