We test a simple model of exchange rate regime choice with data for 65 non-OECD countries covering the period 1980-94.We find that the variance of output at home and in potential target c ountries as well as the correlation between home and foreign real activity are powerful and robust...

This paper reviews recent research on central bank independence (CBI). After we have distinguished between independence and conservativeness, the literature on optimal inflation contracts is discussed, followed by research in which the inflationary bias is endogenised. Finally, the various...

The authors argue that in modelling cross-country growth models one should first identify so-called outlying observations. For the data set of Sali-i-Martin, they use the least median of squares (LMS) estimator to identify outliers. As LMS is not suited for inference, they then use reweighted...