Pesaran, M. Hashem; Yang, Cynthia Fan - 2016
This paper builds on the work of Acemoglu et al. (2012) and considers a production network with unobserved common … technological factor and establishes general conditions under which the network structure contributes to aggregate fluctuations. It … introduces the notions of strongly and weakly dominant units, and shows that at most a finite number of units in the network can …
