This paper studies the causes of movements in inflation and output in Switzerland over 160 years between 1855 and 2015. Aggregate supply and demand shocks are identified in a structural VAR and their evolution and effect on prices and output is discussed. Shocks to the Swiss economy have...

In this paper we look at the PBC problem through the lens of uncertainty. The feedback control used by us is the famous NKPC with stochasticity and wage rigidities. We extend the NKPC model to the continuous time stochastic set up with an Ornstein-Uhlenbeck process. We minimize relevant expected...

This paper investigates the relationship between democracy and economic growth in the context of a linear index threshold regression model. We rst introduce the baseline model with endogeneity and propose a two-step smoothed GMM estimation method. We show the consistency and derive the...