Author(s)

Wang Shen

Corresponding Author

Wang Shen

Abstract

This paper aims to outline the diamond coconut model and to sort out the development of employment theory. Based on the model, a third macroeconomic factor influencing employment is proposed: the difficult trading in multi-person cooperative economy. Then the practical significance of the model in the third-party market is discussed, and the current situation of unbalanced development of the primary and secondary markets is pointed out, finally, the government's role in macro-control is put forward. The paper hopes to propose some suggestions for the follow-up research on the model.

Keywords

Keynesian Theory; Externality; Multi-Stable Equilibrium