research
Large Fluctuations in Consumption in Least Developed Countries
- Publication date
- Publisher
Abstract
The objective of this paper is to shed light on mechanism which increases fluctuation
in consumption of least developed countries. In general large fluctuation in
consumption makes consumers worse off. This fact suggests that accumulation of
knowledge on the generating mechanism of the large consumption fluctuation very
likely contributes to welfare improvement of the least developed countries, through
policies stabilizing consumption.
We specifically investigated the fluctuation in consumption, through the numerical analysis with a dynamic macroeconomic model.Consumption, LDC, Developing countries