Mumtaz, Haroon; Simonelli, Saverio; Surico, Paolo - 2009
Using a dynamic factor model, we uncover four main empirical regularities on international comovements in a long …-run panel of real and nominal variables. First, the contribution of world comovements to domestic output growth has decreased …, international comovements within regions have accounted for the bulk of fluctuations in business cycle and inflation. Fourth, prices …