This article considers the evolution of international business cycle interdependencies among 27 developed and developing countries since the beginning of 1870s, utilizing the generalized vector autoregressive (VAR)-based spillover index of Diebold and Yilmaz (2012), which allows the construction...

Does aggressive use of discretionary fiscal policy induce macroeconomic instability in terms of higher output and inflation volatility? Three main conclusions arise from our cross section and panel analysis for a sample of 20 OECD countries: first, discretionary fiscal policy has a significant...

This article provides an empirical assessment of the relation between the cyclicality of fiscal expenditure policy, output volatility and economic growth, using a cross-section of 88 countries over the period 1960 to 2004. Identification of the effects of (endogenous) cyclical expenditure policy...

This article investigates empirically the links between market size, trade, competition and productivity, using a cross-section of 11 OECD countries and 11 manufacturing industries over the period 1995 to 2000. To deal with endogeneity concerns we extend the Frankel and Romer (1999) approach to...