In this paper we study 2-state Markov switching VAR models of monthly unemployment and inflation for three countries: Sweden, United Kingdom, and the United States. We find that such models seem to provide a better description of the data than single regime VARs and need fewer lags to account...

Empirical studies of intergenerational transfers usually find that bequests are equally divided among heirs while inter vivos gifts tend to be compensatory. Using the HRS data set from the U.S. we find that only 5 % of parents who give, divide their gifts equally among their children. Estimating...