A Demand And Supply Analysis Of The Confluence Of Student Loan Stakeholder Interests

This paper addresses the question of why the student loan crisis has arisen through the use of a demand and supply model.  The model serves as a framework for analyzing the student-borrower motivations (the demand side), the bank-lender motivations (the supply side), externalities that motivate government support for student loans, and the perverse incentives government regulations spawn for educational institutions and lenders.  Analysis of the model reveals that the crisis is driven by students’ desire to increase their socioeconomic standing, by banks’ search for profits in a climate of decreasing risk, and by the government’s efforts to lessen the impact of externalities

python resources

this project is a trivial example of using the framework for me to learn how it work

Distribution Matters: The Reverse Robin-Hood Macroeconomic Effects

This paper examines income distribution’s impact on aggregate demand. Income distribution is introduced by replacing consumption as a function of aggregate income with consumption as the sum of two consumptions: a high income group’s and low income group’s. Notably the high income group’s MPC is assumed to be less than the lower income group’s. Analysis reveals two key results. As the high income group’s proportion of income rises: (1) aggregate demand falls and (2) autonomous spending changes cause smaller aggregate demand shifts. A reduced multiplier is the key. Empirical work supports the assumption that the high income group’s MPC is less than the low income group’s