In this paper, we estimate the speed of adjustment for firm level data. We introduce an extrinsic limitation to the model to test the impact on rate of adjustment. We find that extrinsic limitations have a significant impact on speed of adjustment

This paper assesses the effects of fiscal consolidations associated with public debt reduction on medium-term output growth during periods of private debt deleveraging. The analysis covers 107 countries and 79 episodes of public debt reduction driven by discretionary fiscal adjustments during...

This paper develops a model merging the monetary approach to the balance of payments and a neoclassical growth model into a unified framework in which inflation, growth, and the balance of payments are simultaneously determined. The empirical part of the paper presents estimates of the key...