Publications of the Chair

Macroeconomists and the stagflation – Essays on macroeconomy’s transformation in the 1970’e

2017
Authors :
Aurélien Goutsmedt

This thesis' goal is to study the influence of New Classical economists on macroeconomics in the 1970s, by appealing to an historiographical framework which puts at the heart the role played by the stagflation, and by confronting the results of this work to the standard narrative.

Testing Goodwin with a Stochastic Differential Approach – The United States (1948 – 2017)

2017
Authors :
Florent Mc Isaac

The goal of this paper is to propose and test stochastic differential equations for Goodwin’s model and one of its extension by using an estimation technique based on simulated maximum likelihood developed by Durham and Gallant (2002)

Stagflation and the crossroad in macroeconomics: the struggle between structural and New Classical macroeconometrics

Authors :
Aurélien Goutsmedt

The article studies the 1978 macroeconomics conference titled “After the Phillips Curve”, where Lucas and Sargent presented their fierce attack against structural macroeconometric models, “After Keynesian Macroeconomics”. It aims at enlarging the comprehension of changes in macroeconomics in the 1970s.

Using Output-Based Allocations to Manage Volatility and Leakage in Pollution Markets

2017
Authors :
Guy Meunier, Juan-Pablo Montero and Jean-Pierre Ponssard

Output-based allocations (OBAs) are typically used in emission trading schemes to mitigate leakage in sectors at risk. Recent work has shown they may also help to stabilize prices in markets subject to supply and demand shocks. We extend previous work to simultaneously include both leakage and volatility.

Output-based allocations in pollution markets with uncertainty and self-selection

2017
Authors :
Guy Meunier, Juan-Pablo Montero, Jean-Pierre Ponssard.

The paper studies pollution permit markets in which a fraction of permits are allocated to firms based on their output. Output-based allocations, which are receiving increasing attention in the design of carbon markets around the world are shown to be optimal under demand and supply volatility despite the output distortions they may create. 

Debt and Investment in the Keen model: a Reappraisal of Modeling Minsky

2017
Authors :
Adrien Nguyen-Huu, Antonin Pottier.

We examine to which extent the Keen model (Keen 1995) is a faithful modelling of Minsky's Finance. We conclude that the Keen crisis has few Minskian flavours.

Global trends in metal consumption and supply element: the raw material–energy nexus

2017
Authors :
Cyril François, Gael Giraud, Fatma Rostom, Olivier Vidal

The consumption of mineral resources and energy has increased exponentially over the last 100 years. Further growth is expected until at least the middle of the 21st century. In order to meet this demand, more metals will have to be produced by 2050 than over the last 100 years, which raises questions about the...

Mobility solutions for the energy transition – Cahier de l’Institut Louis Bachelier

2017
Authors :
Cahier de l'ILB realised with Jean-Pierre Ponssard

Realised with Jean-Pierre Ponssard, this "Cahier de l'ILB" is dedicated to sustainable mobility. It deals with various subjects : how driving restrictions affect urban pollution, carbon footprint of motor vehicles in the United States, hydrogen vehicles, the importance of strong regulation to reap the full benefits of innovation in mobility.

The importance of considering optimal government policy when social norms matter for the private provision of public goods

2017
Authors :
Guy Meunier, Ingmar Schumacher

Social pressure can help overcome the free rider problem associated with public good provision. In the social norms literature concerned with the private provision of public goods there seems to be an implicit belief that it is best to have all agents adhere to the ‘good’ social norm. We challenge this view and study...

Coupled Climate–Economy–Biosphere (CoCEB) model – Part 2: Combining deforestation control with carbon capture and storage technologies

2017
Authors :
Keroboto B. Z. Ogutu , Fabio D’Andrea, Michael Ghil

This study uses the global climate–economy–biosphere (CoCEB) model formulated in Part 1 to investigate economic aspects of deforestation control and carbon sequestration in forests, as well as the efficiency of carbon capture and storage (CCS) technologies as policy measures for climate change mitigation.