We investigate the determinants of core inflation in Macedonia and show that the most important drivers of the cumulative core inflation in the post crisis period i.e. between 2010-16 relative to 2008-09 are underutilization of labor in the form of involuntary part-time employment and headline...

This paper uses a sectoral version of the conventional Imperfect substitutes model to motivate a parsimonious estimation of trade elasticities. The elasticities we compute depend directly on the specialization of trade across sectors, which is believed to add econometric precision to our...