The WIPOSIM project aims to provide interactive tools and simulations for macroeconomic education and the economic policy debate. The project is structured in three thematic areas.
- Ecology and macroeconomics
- Public debt and fiscal policy
- Financialization and income distribution
See below for the project outputs in each area.
Ecology and macroeconomics
- Carbon budgets and economic growth: Introduces some basics about the relationship between economic growth and CO2 emissions and the implications for global and country-level carbon budgets.
- Decoupling or degrowth? In this app, you can create scenarios for future CO2 emissions pathways depending on economic growth and the speed of decoupling of economic activity from CO2 emissions.
- Production and CO2 emissions: With this app you can explore how CO2 emissions and production (GDP) have developed over time for various countries.
- Carbon intensity of production: With this app you can explore how the CO2 intensity of production has evolved over time for various countries.
- Global carbon budget: With this app you can select the global carbon budget.
- Carbon budgets for various countries: With this app you can select the carbon budget for various countries.
- Interaktiver Simulator - Welche drastischen Veränderungen nötig wären, um das 1,5-Grad-Ziel noch zu erreichen
Public debt and fiscal policy
- Public debt (COMING SOON): Introduces some very basics about public debt and the challenges of fiscal consolidation.
- Fiscal policy and public debt (PREVIEW): Presents advanced materials on public debt dynamics and sustainability of public finances.
- Fiscal policy and the debt-to-GDP ratio. A seemingly counterintuitive effect? (PREVIEW): Using simple “Keynesian arithmetic,” the conditions under which fiscal consolidation aimed at reducing the debt ratio can have the opposite effect are discussed.
- Evolution of the debt-to-GDP ratio under different assumptions about real growth rate, real interest rate, government deficit and the initial value of the debt ratio
- Deficit spending and the debt-to-GDP ratio - a seemingly counterintuitive effect? The effect in the short run 1
- Deficit spending and the debt-to-GDP ratio - a seemingly counterintuitive effect? The effect in the long run 1
- Deficit spending and the debt-to-GDP ratio - a seemingly counterintuitive effect? The effect in the short-run 2
- Deficit spending and the debt-to-GDP ratio - a seemingly counterintuitive effect? The effect in the long run 2
- Total public debt data (COMING SOON): In this app, you can have a look at the total amount of outstanding government debt for different countries over time.
Disruptions to GDP and public debt (COMING SOON): Illustrates in a stylized way how sudden and unanticipated changes in GDP and its growth rate can impact a planned path of public debt consolidation.
Disruptions to GDP and public debt - with country data (COMING SOON): Connects the previous app with data to create stylized scenarios.
- Long-run debt-to-GDP ratio (COMING SOON): This app illustrates that the long run value of the debt-to-GDP ratio, is determined by the ratio of the total deficit in percent of GDP and the growth rate of nominal GDP.
- Macroeconomic effects of fiscal policy (COMING SOON): Insert short- and long-term effects of fiscal policy on nominal GDP and observe the consequences for the debt ratio in a stylized way.
- Macroeconomic effects of fiscal policy - with country data (COMING SOON): Connects the previous app with data to create stylized scenarios.
- Inflation, interest and the long-run debt-ratio (COMING SOON): Insert values for the primary deficit, the real growth rate, the inflation rate and the nominal interest rate and observe to which value the debt-ratio converges.
- Inflation, interest and simple macroeconomic effects of fiscal policy (COMING SOON): Insert shocks to real GDP and inflation and also choose the effects of fiscal policy on real GDP and inflation. Again this is connected to the data of actual countries.
- Potential GDP and cyclical components of the primary deficit (COMING SOON): Illustrates, how a wrong estimate of potential GDP leads to a wrong estimate of the non-cyclical component of the primary balance.
Financialisation and income distribution
- Neo- and post-Kaleckian model: Stylized interactive illustration of basic Kaleckian growth models.
- Prante F., Hein E., Bramucci A., (2022) Varieties and interdependencies of demand and growth regimes in finance-dominated capitalism. Review of Keynesian Economics, 10(2), 264-290.
- Hein E., Prante F., Bramucci A., (forthcoming) Financialisation, macroeconomic regimes and the potentials for a progressive equality-, sustainability- and domestic demand-led regime – a post-Keynesian simulation approach. IPE Working Paper
This project was created to extend the thematic range and economic policy scope of our previous project, in which we developed a free interactive online-textbook on an introduction to macroeconomics with a particular focus on the policy implications of the three-equation model of the “New consensus” in macroeconomics and a post-Keynesian alternative.
The WIPOSIM project is a cooperation project of Franz Prante , Achim Truger and Till van Treeck at the Institute for Socio-Economics, University of Duisburg-Essen
and Alessandro Bramucci and Eckhard Hein at the Institute for International Political Economy Berlin, Berlin School of Economics and Law.
The WIPOSIM project was funded by the Hans-Böckler Foundation.