Tuesday, January 27, 2009

Humour Me Here

Would the advent of cryogenic technology where it becomes possible to revive a frozen person (as opposed to today, where we can freeze but not thaw) substantially affect the business cycle? Would workers laid off at the start of a recession opt for a period of freezing instead of simply becoming discouraged? Wake me up when the unemployment rate is back down to 5.5%? Has anyone modeled this sort of thing?

1 comment:

Nick Rowe said...

Sounds like a great thesis topic ;-)

Sounds plausible. Like an extreme version of intertemporal substitution of leisure, as in RBC theories, with added intertemporal substitution and utility.

Others (can't remember who) have made the comparison of business cyles to geography. As you travel by car across Canada, at a constant speed, you see economic activity fluctuate. If you stay in one place and observe across time, you see economic activity fluctuate. Cyrogenics would just make the analogy closer, because there would be fewer people awake/living in the recessions/countryside.