The portfolio model of asset allocations is used to estimate the demand function for real M2 in the United States. The explanatory variables include real return on real M2, real returns on stocks and bonds, wealth, and the expected inflation rate. The cointegration test shows that the demand for...

This paper examines output fluctuations for Lithuania by applying the IS-MP-UIP model. Comparative-static analysis is applied to find the possible sign of a change in an exogenous variable on the equilibrium real GDP. The generalized least squares method is employed to estimate consistent...

This article extends the IS-MP-IA model (Romer, 2000) and applies the GARCH process (Engle, 1982, 2001) to study output variations in Slovenia. Equilibrium GDP in Slovenia is found to have a positive relationship with real depreciation and the world output and a negative relationship with the...

Extending Ball and Mankiw (2002) and applying the Hodrick-Prescott filter (1997), this paper estimates the time-varying NAIRU for France, Germany, and Italy. Estimated slopes vary from -0.404 for France to -0.647 for Italy. NAIRUs for France and Germany have been on the rise in recent years...