. Recent research argues that models with persistent growth rate shocks and recursive preferences can solve that puzzle. I show …, then long-run risk generates insufficient exchange rate volatility. A long-run risk model with recursive-preferences can … generate realistic exchange rate volatility, if all agents efficiently share their consumption risk by trading in complete …

This paper attempts a re-examination of the relationship between the output volatility and economic growth using an … proxy of macroeconomic volatility has negative effect on economic growth. The results appear to be stronger when we include … between economic growth and volatility for the developing countries. The financial development indicator indicates significant …

I analyze output growth, volatility, and skewness as the joint outcomes of financial openness. Using an industry panel … of 53 countries over 45 years, I find that financial openness increases simultaneously mean growth and the negative … skewness of the growth process. The increase in output skewness appears to come from a more negatively skewed distribution of …

reduce macroeconomic volatility. The link between macroeconomic volatility and capital account openness in the Greek economy …. There is no strong evidence for a stable relation between macroeconomic volatility and variables of financial openness. Thus …, seem to be related to macroeconomic growth volatility in the Greek economy. …

average higher volatility of output growth (1) accumulated higher external assets in the long-run and (2) experienced more … procyclical capital outflows over the business cycle than those countries with a same growth rate but a more stable output path …. To explain this finding we provide a theoretical mechanism within a stochastic real business cycle growth model in which …

average higher volatility of output growth (1) accumulated higher external assets in the long-run and (2) experienced more … procyclical capital outflows over the business cycle than those countries with a same growth rate but a more stable output path …. To explain this finding we provide a theoretical mechanism within a stochastic real business cycle growth model in which …

average higher volatility of output growth (1) accumulated higher external assets in the long-run and (2) experienced more … procyclical capital outflows over the business cycle than those countries with a same growth rate but a more stable output path …. To explain this finding we provide a theoretical mechanism within a stochastic real business cycle growth model in which …

conventional trade channel. We analyze whether the effective exchange rate affects GDP growth, the domestic credit and the global … liquidity measure as the credit in foreign currencies, and how global liquidity affects GDP growth. We make use of local … growth. However, this is valid only in the short-run; in the medium-long run, an increase of credit denominated in foreign …