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We investigate the relationship between individual trust and individual economic performance. We find that individual income is hump-shaped in a measure of intensity of trust beliefs. Our interpretation is that highly trusting individuals tend to assume too much social risk and to be cheated...
Persistent link: https://www.econbiz.de/10012463306
Russia is often considered a perfect example of the so-called "resource curse"--the argument that natural resource … around the world suggests that for countries like Russia with an established oil industry, even large increases in the scale … of mineral incomes have only a minor effect on the political regime. In addition, Russia--a country with an …
Persistent link: https://www.econbiz.de/10012462985
We examine patterns of economic policy uncertainty (EPU) around national elections in 23 countries. Uncertainty shows a clear tendency to rise in the months leading up to elections. Average EPU values are 13% higher in the month of and the month prior to an election than in other months of the...
Persistent link: https://www.econbiz.de/10012482181
In this paper we analyze empirically the most important implications of two family political economy models of inflation: the "myopic? government approach and the "weak" government approach. In myopic government models inflation is the deliberate outcome of politicians strategic behavior, while...
Persistent link: https://www.econbiz.de/10012475286
Economic policy uncertainty affects decisions of households, businesses, policy makers and Financial intermediaries. We first examine the impact of economic policy uncertainty on aggregate bank credit growth. Then we analyze commercial bank entity level data to gauge the effects of policy...
Persistent link: https://www.econbiz.de/10012456652
Countries choose different strategies when responding to crises. An important challenge in assessing the impact of these policies is selection bias with respect to relatively time-invariant country characteristics, as well as time-varying values of outcome variables and other policy choices....
Persistent link: https://www.econbiz.de/10012457679
Persistent link: https://www.econbiz.de/10013480945
In this history of the first decade of ECB policy, we also discuss key challenges for the next decade. Beyond the ECB's track record and an array of published critiques, our analysis relies on unique source material: extensive interviews with current and former ECB leaders and with other...
Persistent link: https://www.econbiz.de/10012464158
This paper characterizes the transmission mechanism of monetary shocks across countries of the euro area, documents how this mechanism has changed with the introduction of the euro, and explores some potential explanations. The factor-augmented VAR (FAVAR) framework used is sufficiently rich to...
Persistent link: https://www.econbiz.de/10012464457
The possibility that the euro area might break up was being raised even before the single currency existed. These scenarios were then lent new life five or six years on, when appreciation of the euro and problems of slow growth in various member states led politicians to blame the European...
Persistent link: https://www.econbiz.de/10012465257