An Empirical Approach to Stock-Flow Consistent Modelling

Room 006, Gardiner 1 Building, OU, Milton Keynes

A free lunchtime economics seminar (please feel free to bring your lunch with you) presented by Graeme Smith, IKD member and PhD student in the OU's Dept of Accounting and Finance.

Abstract
The stock-flow approach is a new type of macroeconomic modelling that explicitly uses national accounts data to take into account unsustainable stocks of debt. The approach has become widely used since the 2008 global financial crisis, and is being developed as the basis for a new Bank of England model.

PhD student Graeme Smith is developing a particular empirical approach to stock-flow modelling that has its roots in the Cambridge economic tradition, and will examine evidence from the US that suggests that current stocks of debt are out of proportion to levels of income.