Game theory and its role in determining optimal policies and strategic interaction between fiscal and monetary policymakers (Application of differential game theory and stackelberg games)

In this study, we follow several purpose. In the first section, the game theory concept and the formation of its fundamental concepts is examined. After that, we investigate that how von Neumann-Morgenstern (1944) and john Nash (1950-1953) works, caused the formation of modern game theory. Then, we discussed that how game theory enter to macroeconomic modern space. The achievement of this area can be found in Kydland and Prescott (1977). On the other hand, we consider the importance of differential game. This theory plays an important role in the applicable of strategic interaction between fiscal and monetary policy. Hence by extend Tabellini model (1986) in stackellberg case by open loop and feedback information, the equilibrium model in Iranian economy is investigated. The results show that, converge speed in open loop case is higher than feedback case and also debt equilibrium in the feedback case is lower than open loop case. On the other hand, the result shows that in stackelberg game between government and central bank, the level of debt can be brought to the target level, and even with huge oil revenues, the government could impose policy to prevent the creation of much money by central bank.
Quarterly Journal of Applied Economics Studiesin Iran, Volume:5 Issue: 18, 2016
1 to 34  
دانلود و مطالعه متن این مقاله با یکی از روشهای زیر امکان پذیر است:
اشتراک شخصی
با عضویت و پرداخت آنلاین حق اشتراک یک‌ساله به مبلغ 1,390,000ريال می‌توانید 70 عنوان مطلب دانلود کنید!
اشتراک سازمانی
به کتابخانه دانشگاه یا محل کار خود پیشنهاد کنید تا اشتراک سازمانی این پایگاه را برای دسترسی نامحدود همه کاربران به متن مطالب تهیه نمایند!
  • حق عضویت دریافتی صرف حمایت از نشریات عضو و نگهداری، تکمیل و توسعه مگیران می‌شود.
  • پرداخت حق اشتراک و دانلود مقالات اجازه بازنشر آن در سایر رسانه‌های چاپی و دیجیتال را به کاربر نمی‌دهد.
In order to view content subscription is required

Personal subscription
Subscribe for 70 € euros via PayPal and download 70 articles during a year.
Organization subscription
Please contact us to subscribe your university or library for unlimited access!