Monopolization,Income Distribution And The Macroeconomic Effects Of Fiscal Policy Shock

Based on the analysis of fiscal expenditure on representative monopoly industry in China and the representative competitive industry influence,on the basis of a fiscal spending on monopoly industries has a bias hypothesis,and has set up a dynamic stochastic general equilibrium model(DSGE model),and the model analyzes the impact of financial expenditure shocks on economic fluctuation which includes the factors of fiscal expenditure bias.DSGE models built in this paper contains a final product manufacturers and two types of intermediate products manufacturers,two kinds of household,its essence is a model of the department.Is the industry standard of the division of intermediate manufacturers market capacity,reduced to two forms,one is monopoly,one kind is perfect competition,intermediate product manufacturer is labor and capital factors of production,for the cobb-douglas production function form,the end product manufacturers with intermediate products manufacturers products for factors of production,production function for the constant elasticity of substitution production function.One household can share the profits,to monopoly manufacturer called monopolistic families;Another type of household do not share monopoly profits,known as the household competition manufacturers,two types of families hold capital.To make the model can be the solution,key assumption is that the household capital into the utility function,which can solve different families of steady state capital stock,this part also make DSGE model can analyze the income distribution effects on the economic operation.Critical assumptions of fiscal spending is spending tend to monopoly industries,spending increase of demand relative increase will make the antitrust division.Determine the related parameters of the model,simulation analysis was carried out on the model.Through the analysis of this article thinks:monopoly in the economy,will impact on fiscal policy affect the macroeconomic effect;Economic monopoly,and fiscal spending to monopoly industries,the measure of a given output,the traditional output effect of fiscal policy impact analysis has certain defects.Therefore,analyze the macroeconomic effects of fiscal policy,considering monopoly existing in the economic and fiscal expenditure of bias is beneficial for different industries;At the same time,the conclusion of this paper for the macroeconomic effects of fiscal policy validity evaluation provides a certain reference.