This paper reassesses, at the light of economic and financial theory, the well-documented recent evolution of the euro area public debt and equity markets.

This paper embarks to analyse the role of exports and investment supposed to be major sources of economic growth in Asia Pacific. Therefore at first, the cointegration properties of exports, capital formation and GDP are examined in vector error correction models (VECMs)...

This paper extends Galí and Gertler’s (1999) new hybrid KeynesianPhillips curve to the open economy context. We hypothesise that pricing decisionsdepend on both labour costs and intermediate imported input prices. The results forHong Kong are consistent with the theory if import prices are...

In this study, we first estimate the level of financial integration for twenty five emerging stock markets over the last decade. Using a multivariate GARCH(1,1)-M return generating model allowing for partial market integration as well as for the pricing of systematic emerging market risk, we...

We set up a model of generalised oligopoly where two countries of different size compete foran exogenous, but variable, number of identical firms. The model combines a desire bynational governments to attract internationally mobile firms with the existence of locationrents that arise even in a...

While the regional economic integration encompassing the former Soviet Union (FSU) transpiresto be inefficient, there appears to be a stronger interest in regionalism in smaller groupsof more homogenous and geographically connected countries of the region, specifically, CentralAsia. Using a new...

This paper studies the e¤ects of international openness and contracting institutions on verticalintegration. It …rst derives a number of predictions regarding the interactions between trade bar-riers, contracting costs, technology intensity, and the extent of vertical integration from a...

This paper suggests spatial models as an alternative to the Armington approach to model bilateral trade. While the use of spatial models has been accepted for decades, they are rarely chosen for such analyses. However, problems inherent in the application of the Armington approach can be...

This paper analyses trade specialisation dynamics in two Eastern European countries(Romania and Bulgaria – EEC-2) vis-à-vis the core EU member states (EU-15) over theperiod 1990-2006. Specifically, we focus on whether there is a shift towards intra-industrytrade leading to economic...

This paper explores the role of country asymmetries for trade and industrial policies withheterogeneous firms. Our analysis delivers a number of novel results. First, trade policies,infrastructure policies and industrial policies which improve the business conditions in onecountry have negative...