There is an ongoing debate on whether certain sector structures enhance regional employment growth. Often, regional policies promote clusters and, hence, regional specialisation. It is commonly believed that clusters boost regional economic performance. However, in the present manuscript a...

Social interaction contributes to stochastic volatility and momentum in financial markets. By developing a simple evolutionary model of asset pricing and population game, we incorporate social interaction among investors with information uncertainty and show that social interaction leads to the...

We lay out an empirical and a theoretical model to analyze the effects of non-fundamental exchange rate volatility on economic activity and welfare. In the first part of the paper, the GARCH-SVARmodel is applied to measure empirically the effect of the conditional exogenous exchange rate...