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index of smuggling in Iran from 1970 to 2002. The Multiple Indicators - Multiple Causes (MIMIC) econometric modelling is … incentives for illegal trade. More trade openness accompanies more illegal trade for the case of Iran. On average, the relative … size of smuggling is about 13% of the total trade in Iran. The absolute amount of smuggling per year is about $3 billion. …
Persistent link: https://www.econbiz.de/10005181341
development of government spending in major sections shapes the political institutions in Iran. This question has become … especially important due to recent international sanctions, aiming to change the political behavior of Iran. We use the impulse … provision spending in Iran. The results imply that a shock in positive changes of democratic quality of institutions leads to …
Persistent link: https://www.econbiz.de/10010739347
subsequent taxation in Iran. We use rich micro survey data covering more than 36,000 Iranian households in 2009. Our micro …
Persistent link: https://www.econbiz.de/10010781552
trade towards PPP during a catch-up process, which suggests very long half-life times of terms of trade. Two theoretical …
Persistent link: https://www.econbiz.de/10005405944
This paper sheds new light on a long-standing puzzle in the international finance literature, namely, that exchange rate expectations appear inaccurate and even irrational. We find for a comprehensive dataset that individual forecasters’ performance is skill-based. ‘Superior’ forecasters...
Persistent link: https://www.econbiz.de/10005000372
Since 1997, the Bank of England Monetary Policy Committee (MPC) has met monthly to set the UK policy interest rate. We examine evidence of systematic patterns in exchange rate movements on MPC days over the first decade of operation of the MPC. Daily data reveal significant differences in...
Persistent link: https://www.econbiz.de/10005000390
In this paper we adopt a new approach to testing for purchasing power parity, PPP, that is robust to base country … cross section dependence which is difficult to deal with particularly when N is large. In this paper we test for PPP …. The bootstrapped rejection frequencies at 26%-49% based on unit root tests suggest some evidence in favour of the PPP in …
Persistent link: https://www.econbiz.de/10005094274
extent the Fisher equation across a number of countries, but our results for the PPP are much weaker. Also as to be expected …
Persistent link: https://www.econbiz.de/10005181243
The status of real and financial integration of China, Hong Kong, and Taiwan is investigated using monthly data on one-month interbank rates, exchange rates, and prices. Specifically, the degree of integration is assessed based on the empirical validity of real interest parity, uncovered...
Persistent link: https://www.econbiz.de/10005181319
) and generalized by Banerjee and Carrion-i-Silvestre (2006) to examine the robustness of the PPP concept for a sample of 80 … developed and developing countries. We find that strong PPP is verified for OECD countries and weak PPP for MENA countries …. However in African, Asian, Latin American and Central and Eastern European countries, PPP does not seem relevant to …
Persistent link: https://www.econbiz.de/10005405826