This paper uses the structural VAR approach to examine the importance of different types of shocks for the macroeconomic fluctuations in Greece. Monetary and aggregate demand shocks are found to dominate output variability in the short run, and aggregate supply shocks in the long-term. Monetary...

This paper estimates the productivity of government capital for a panel of fifteen European countries in the 1960-1992 period, and tests whether government investment is optimally provided. The empirical results support the following conclusions: (i) When time effects are included in the...

Changes in the investment rate, population rate, and government consumption may alter real growth permanently in an endogenous growth model, but only temporarily in a neoclassical model, where the only permanent effect is a change in the steady-state level of output per capita. Using annual data...