Does model uncertainty really preclude international policy coordination?

We show that uncertainty about the effects of economic policies, far from precluding international macroeconomic policy coordination, may actually provide an additional incentive to coordinate policies. Using 11 global macroeconomic models we find that the welfare gains from coordination which arise...

Full description

Saved in:
Bibliographic Details
Published inJournal of international economics Vol. 31; no. 3; pp. 325 - 340
Main Authors Ghosh, Atish R., Ghosh, Swati R.
Format Journal Article
LanguageEnglish
Published Amsterdam Elsevier B.V 01.11.1991
Elsevier
North-Holland Publishing Co
Elsevier Sequoia S.A
SeriesJournal of International Economics
Subjects
Comparative studies
Coordination
Economic models
Economic policy
Economic statistics
Economic theory
Economics
Effects
International
International cooperation
Statistical analysis
Uncertainty
Online AccessGet full text

Cover

More Information
Summary:We show that uncertainty about the effects of economic policies, far from precluding international macroeconomic policy coordination, may actually provide an additional incentive to coordinate policies. Using 11 global macroeconomic models we find that the welfare gains from coordination which arise solely from the existence of model uncertainty are of roughly the same magnitude as those identified in the standard literature.
Bibliography:ObjectType-Article-2
SourceType-Scholarly Journals-1
ObjectType-Feature-1
content type line 23
ISSN:0022-1996
1873-0353
DOI:10.1016/0022-1996(91)90042-5