We evaluate the Smets-Wouters model of the US dynamically using indirect inference with a VAR representation of the main US data series. We find that the New Keynesian SW model is badly rejected by the data's dynamic properties and in particular cannot match the variability of the data. An...

This paper examines the major determinants of GDP growth in Iran using annual time series data spanning from 1960 to 2003. The Iranian economy has been subject to a multitude of structural changes and regime shifts during the sample period. Thus, time series properties of the data are first...

In multiple regressions, explanatory variables with simple correlation coefficients with the dependent variable below 0.1 in absolute value (such as aid with economic growth) may have very large and statistically significant estimated parameters which are unfortunately "outliers driven" and...

The interaction matrix, or spatial weight matrix, is the fundamental tool to model cross-sectional interdependence between observations in spatial econometric models. However, it is most of the time not derived from theory, as it should be ideally, but chosen on an ad hoc basis. In this paper,...

This paper analyzes the interrelation between foreign direct investment and economic growth in terms of intersectoral externalities using panel data of 30 provinces in China from 1993 to 2007. A two-sector model, including both foreign-funded sector and domestic-funded sector, is derived to...

Tourism is one of the growing industries in Sri Lanka in the post war development. Its contribution to the Sri Lankan economy is vital in the same context. The objective of this study is to examine the causal relationship between economic growth and tourism earning in Sri Lanka during 1977-2012....

This paper analyzes the interrelation between foreign direct investment and economic growth in terms of intersectoral externalities using panel data of 30 provinces in China from 1993 to 2007. A two-sector model, including both foreign-funded sector and domestic-funded sector, is derived to...

This study sheds new light on the question of whether or not sentiment surveys, and the expectations derived from them, are relevant to forecasting economic growth and stock returns, and whether they contain information that is orthogonal to macroeconomic and financial data. I examine 16...

We evaluate the Smets-Wouters model of the US dynamically using indirect inference with a VAR representation of the main US data series. We find that the New Keynesian SW model is badly rejected by the data's dynamic properties and in particular cannot match the variability of the data. An...

This study aims at investigating the nature of the causal relationship between immigration and two macroeconomic indicators, GDP per capita and unemployment, in Greece using annual data spanning the period between 1980 and 2007. Procedures are used to endogenously identify structural breaks in...