This paper discusses the intellectual origins of the so-called 'new economic geography' and provides its basic insights by means of a streamlined framework which stresses the generality of their implications.

This paper develops statistical and computational tools for modelling returns forecasts to be used by a risk neutral investor. Any forecast with the same sign as the conditional mean optimises the loss function derived from this agents' decision problem, so the class of optimal predictors is...

The Jordan Form of the VAR's Companion matrix is used for proving the equivalence between the statement that there are no jordan blocks of order two or higher in the Jordan matrix and the conditions of Granger's Representation Theorem for an I(1) series. Furthermore, a Diagonal polynomial matrix...

We prove the existence of symmetric pure Cournot equilibria with heterogeneous goods under the following condition: Each firm reacts to a rise in competitor's output in such a way that its market price does not rise.