Starting from a modern approach to dynamic aggregate supply and aggregate demand modeling with rigorous steady state existence and stability proofs in the first part, this book reconsiders the modeling of financial asset markets in a closed economy, and suggests a number of improvements. In particular a Tobinian general equilibrium mechanism is introduced into these markets in part two of this book. In part three the influence of government interest payments (in the first two parts neutralized by tax rules) and its impact on the dynamic system is treated analytically. Steady state and comparative static analysis and also rigorous stability proofs are performed for the models as well.

The Author: Carsten Köper was born in 1968. He graduated in economics at the University of Bielefeld in 1996, where he also undertook his doctoral studies and joined the programme Graduiertenkolleg ‘Mathematische Wirtschaftsforschung’ of the Deutsche Forschungsgemeinschaft. He submitted his doctoral dissertation at the University of Bielefeld in 2002. Today Carsten Köper works in the financial branch of an electronic company in Munich.