A Comparative Study of Two Decision Models: Frisch’s model and a simple Dutch planning model
The significance of Frisch's notion of decision models is, in the first place, that they draw full attention upon "inverted problems" which economic policy puts before us. In these problems the data are no longer those in the traditional economic problems, but partly the political goals of economic policy such as a certain volume of employment, equilibrium in the balance of payments, a certain standard of life, etc. Unknowns, on the other hand, are a number of political parameters such as tax tariffs of different types or the exchange rate.
|Keywords||Frisch, Netherlands, decision models, economertrics, econometric models, economic planning models|
Tinbergen, J.. (1951). A Comparative Study of Two Decision Models: Frisch’s model and a simple Dutch planning model. Econometrica. Retrieved from http://hdl.handle.net/1765/9748