Carlo experiments, where we also study the estimation of the aggregate effects of micro and macro shocks. The paper … concludes with an empirical application to consumer price inflation in Germany, France and Italy, and re-examines the extent to …

has implications for the estimation of economic models of energy-intensive durables, for oil price forecasting, and for …

spending – combined with investment theory – to estimate the discount rates used by managers. The standard story predicts that … between 15.1% and 45.2% too much capital. These estimates suggest that, even before they burst, bubbles adversely affect …

We develop a model of rational bubbles based on leverage and the assumption of an imprecisely known maximum market size … lend to traders with limited liability in a bubble is endogenous. Bubbles reduce welfare of future investors. We provide … general conditions for the possibility of bubbles depending on uncertainty about market size, traders' degree of leverage and …

city sizes and the city-size distribution as a whole to highlight the main characteristics of Italy's urban system such as … the differences between northern and southern Italy. Our second, and main, contribution is that our data allow for panel … estimation where city-size is regressed on various geographical, political and other determinants of city size for the period …