We suggest use continuous numerical risk grades [0,1] of R for a single risk or the unit cube in Rn for n risks as the economic domain. We consider risk ratings of economic agents as their coordinates in the economic domain. Economic activity of agents, economic or other factors change agents risk ratings and that cause motion of agents in the economic domain. Aggregations of variables and transactions of individual agents in small volume of economic domain establish the continuous economic media approximation that describes collective variables, transactions and their flows in the economic domain as functions of risk coordinates. Any economic variable A(t,x) defines mean risk XA(t) as risk weighted by economic variable A(t,x). Collective flows of economic variables in bounded economic domain fluctuate from secure to risky area and back. These fluctuations of flows cause time oscillations of macroeconomic variables A(t) and their mean risks XA(t) in economic domain and are the origin of any business and credit cycles. We derive equations that describe evolution of collective variables, transactions and their flows in the economic domain. As illustration we present simple self-consistent equations of supply-demand cycles that describe fluctuations of supply, demand and their mean risks.
The Behavior of Inventories over the Business Cycle: Evidence across Levels of Development
Instituto interdisciplinario de Economía Política de Buenos Aires - Universidad de Buenos Aires（布宜诺斯艾利斯政治经济学跨研究所 - 布宜诺斯艾利斯大学）；Universidad de San Andrés（圣安德烈斯大学）
Business cycle synchronization between the EU and Western Balkan candidate economies: A Wavelet Analysis
Macedonian Academy of Sciences and Arts（马其顿科学院与艺术院）；Faculty of Economics, Ss. Cyril and Methodius University in Skopje（斯科普里圣西里尔和梅托迪乌斯大学经济系）；Corvinus University of Budapest（布达佩斯考文纽斯大学）
