Fiscal rule and shock amplification : A stochastic endogenous growth model

This paper develops a discrete-time stochastic endogenous growth model to study the amplification role of fiscal rules. In our model, transitory shocks exert permanent effects on the level of variables in equilibrium (hysteresis), and can be strongly amplified by the public debt adjustment, leading to a procyclical amplification mechanism (the "public debt accelerator"). This procyclical stance depends on the speed of adjustment of the debt-to-GDP ratio under a fixed-fiscal rule. A cold turkey strategy removes the public debt shock, but at the risk of destabilizing other variables, while a gradualist strategy has a stabilization effect, with detrimental consequences in the long-run. Finally, we show that a flexible-fiscal rule helps smooth aggregate variables by limiting the cuts in productive public spending

Comment mettre fin à une guerre d’usure ? Quelques enseignements des modèles théoriques

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Florence Magnot-Ogilvy, Le Roman et les Echanges au XVIIIe siècle. Pertes et profits dans la fiction des Lumières

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Review of The Spirit of French Capitalism: Economic Theology in the Age of Enlightenment

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Les Nouvelles Ecclésiastiques (1728-1750) face à leurs opposants : quelques polémiques autour du prêt à intérêt

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Rendre à César ce qui est à César et à Dieu ce qui est à Dieu. Mise en perspective par la doctrine monétaire

Cet article expose la scène dite du « paiement de l’impôt à César » (Mt 22,15-21) à travers le prisme de la doctrine monétaire en s’appuyant sur les commentaires de quelques Pères latins. L’interprétation théologique de la scène change radicalement en fonction de la vision de la nature de la monnaie : le denier qui est présenté à Jésus peut être perçu comme une monnaie-marchandise – il est frappé à l’image de l’empereur – ou une monnaie-signe – il est l’étalon de mesure de l’impôt. Les paroles du Christ mettent alors en parallèle deux acquittements : celui d’une dette contractée envers César, à celui d’une dette contractée envers Dieu

The Relationship Between Theology and Economics: The Role of The Jansenism Movement

This article reassesses the links between the origins of the political economy and the Christian theology during the seventeenth and eighteenth centuries. I focus on the Jansenism movement-the most powerful Christian protest current in the pre-Revolution period. I reveal that the influence of this movement on economic ideas can be roughly divided into three issues. During the pre-Unigenitus (1713) period (first jansenism), (i) the original vision of labor that contrasts with the Protestant's approach and the Catholic doctrine, and (ii) the idea that self-interest can produce a social optimum were major contributions of the jansenism on economic debates. During the post-Unigenitus period (second jansenism), (iii) the confrontation between two parties-the "liberal" vs the "resistant" jansenism currents-on the interest-bearing loans issue led to the development of new economic arguments for or against the credit, while making reference to the Holy Writings

Fiscal rule and shock amplification : A stochastic endogenous growth model

This paper develops a discrete-time stochastic endogenous growth model to study the amplification role of fiscal rules. In our model, transitory shocks exert permanent effects on the level of variables in equilibrium (hysteresis), and can be strongly amplified by the public debt adjustment, leading to a procyclical amplification mechanism (the "public debt accelerator"). This procyclical stance depends on the speed of adjustment of the debt-to-GDP ratio under a fixed-fiscal rule. A cold turkey strategy removes the public debt shock, but at the risk of destabilizing other variables, while a gradualist strategy has a stabilization effect, with detrimental consequences in the long-run. Finally, we show that a flexible-fiscal rule helps smooth aggregate variables by limiting the cuts in productive public spending

Review of Charly Coleman's The Spirit of French Capitalism: Economic Theology in the Age of Enlightenment

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