Researchers seldom find evidence of I(2) in exchange rates, prices, and other macroeconomics time series when they test the order of integration using univariate Dickey-Fuller tests. In contrast, when using the multivariate ML trace test we frequently find double unit roots in the data. Our...

Applying a probabilistic causal approach, we define a class of time series causal models (TSCM) based on stationary Bayesian networks. A TSCM can be seen as a structural VAR identified by the causal relations among the variables. We classify TSCMs into observationally equivalent classes by...

The primary aim of the paper is to place current methodological discussions on empirical modeling contrasting the 'theory first' versus the 'data first' perspectives in the context of a broader methodological framework with a view to constructively appraise them. In particular, the paper focuses...

Combining a Dynamic Computable General Equilibrium (DCGE) model of the Yemeni economy with a microsimulation model that captures the link between changes in household incomes and changes in nutrition status, this paper provides a quantitative assessment of the agricultural, economy-wide, and...

Rising income inequality is an anglo Saxon problem. For most of the other OECD countries, earnings dispersion is rather persistent. Vertical mobility is to be taken into account. The paper also looks at the relationship of income inequality, growth and employment. It elaborates the point that...

This paper addresses poverty reduction strategies from a labour market perspective. Structural features and constraints are emphasised using informality as a descriptive and segmentation as an analytical concept. Divergent demand-side developments combined with limited labour market mobility...

This paper provides an account of the evolution of poverty and inequality during adjustment in Bolivia, covering the period 1985–99. It turns out that urban poverty declined somewhat after the initial stabilization phase that followed the hyperinflation in 1985. A similar evolution of per...

The paper analyzes why Germany experiences the high and sticky unemployment. It looks at wage policy and proposes a new approach to measure productivity growth when unemployment increases. It studies the position of trade unions and the institutional set-up of the labor market. It looks at the...

Germany'’s social security system is surveyed, its benefits and contributions are discussed. The expansion of this system in the last decades is described, its impact on employment and growth is studied and proposals for the reform of the system are discussed.

In this paper we apply two statistical models to the measurement of polarization to Israeli income data over the past decade in order to empirically detect income classes as sub-populations of incomes concentrated around an optimal number of poles. The statistical models compared are a...