| Summary: | 碩士 === 國立臺灣大學法教分處 === 經濟學研究所 === 91 === Abstract
This paper tries to investigate the economic polices under the imperfectly competitive monetary economic environment with an endogenous labor-leisure choice. Based on the framework of Dixon’s imperfectly competitive macroeconomic model (1987), where I introduce money in chapter 3 and chapter 4 by considering both the cash-in-advance (CIA) and the transactions costs (TC) approach separately in substitution for money-in-the-utility-function (MIUF) approach, I examine the economic polices by levying three different types of taxation following Molana and Moutos (1991).
In consideration of the CIA approach, I show in chapter 3 that the comparative static results of economic polices are consistent with those of Molana and Moutos (1991), in which money is neutral in all the three types of taxation and the results of fiscal policy reveal in the following: (1) the effects of fiscal policy are more enhanced in the short run than in the long run through the three different types of taxation; (2) the balanced budget multiplier is Walrasian rather than Keynesian (That is, the multiplier is less than unity) under lump-sum taxes; (3) the balanced multiplier is positive when lump-sum taxes are levied; (4) the balanced multiplier is zero when taxes are proportional to total income (wage and profit income) and (5) the balanced multiplier can be negative when taxes are levied proportional to wage income alone.
In consideration of the TC approach in chapter 4 , I point out that the results of monetary policy are still consistent with those of Molana and Moutos(1991) but the results of fiscal policy are altered: (1) the results of fiscal policy are more effective than the original cases in both the long run and the short run through the three different types of taxation; (2) the balanced budget multiplier can be more Keynesian rather than Walrasian (That is, the multiplier can be greater than unity) under lump sum taxes; and (3) the balanced budget multiplier becomes positive by levying total income taxes and becomes indeterminate under the condition imposed in the original case when wage income is taxed alone. The alteration above is due to the fact that I serve government expenditure as an argument in reducing transactions costs.
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