Can Consumers' Confidence Contribute to Cyclic Movement of the Economic Activity?
The result's identifiers
Result code in IS VaVaI
<a href="https://www.isvavai.cz/riv?ss=detail&h=RIV%2F61989100%3A27510%2F16%3A86097670" target="_blank" >RIV/61989100:27510/16:86097670 - isvavai.cz</a>
Result on the web
—
DOI - Digital Object Identifier
—
Alternative languages
Result language
angličtina
Original language name
Can Consumers' Confidence Contribute to Cyclic Movement of the Economic Activity?
Original language description
The main goal of this paper is to present consumers' confidence as an important source of cyclical movement of the economic activity. I use a simplified agent-based model with a single production sector and consumers (agents). The confidence (optimism/stableness/ /pessimism) spreads by interactions among consumers and according to the macro state of the economy on the lattice of consumers. The aggregate level of confidence in society reflects the consumers' expectations about their future incomes together with their preferences between current and future consumption and determines aggregate demand for consumption spending. I found that the model is capable of generating persistent endogenous business cycles. The consumer confidence could be considered as a one of the variables contributing to the cyclical movement of the economic activity.
Czech name
—
Czech description
—
Classification
Type
D - Article in proceedings
CEP classification
AH - Economics
OECD FORD branch
—
Result continuities
Project
<a href="/en/project/EE2.3.20.0296" target="_blank" >EE2.3.20.0296: Research team for modelling of economic and financial processes at VSB-TU Ostrava</a><br>
Continuities
P - Projekt vyzkumu a vyvoje financovany z verejnych zdroju (s odkazem do CEP)<br>S - Specificky vyzkum na vysokych skolach
Others
Publication year
2016
Confidentiality
S - Úplné a pravdivé údaje o projektu nepodléhají ochraně podle zvláštních právních předpisů
Data specific for result type
Article name in the collection
Quantitative Methods in Economics : Multiple Criteria Decision Making XVIII : proceedings of the international scientific conference : 25th May-27th May 2016, Vrátna, Slovakia
ISBN
978-80-972328-0-1
ISSN
—
e-ISSN
—
Number of pages
6
Pages from-to
404-409
Publisher name
Letra Interactive
Place of publication
Bratislava
Event location
Vrátna
Event date
May 25, 2016
Type of event by nationality
EUR - Evropská akce
UT code for WoS article
000394099300066