performance of homogenous panel unit root tests in the presence of permanent volatility shifts. It is shown that in this case …, panel unit root tests derived under time invariant innovation variances lose control over actual significance levels while … hypothesis. -- Panel unit root tests ; variance breaks ; cross sectional dependence ; Fisher hypothesis …

static panel models. Thirdly, via scatter diagrams of cross section specific estimates we observe a different time evolution …

correction models formalizing adjustment dynamics of domestic investment ratios are markedly outperformed by static panel models …

of the most discussed issues triggered by the so called Feldstein-Horioka puzzle. Based on panel data we introduce a new …