This paper presents a dynamic factor model where the extracted factors and shocks are given a clear economic interpretation. The economic interpretation of the factors is obtained by means of a set of over-identifying loading restrictions, while the structural shocks are estimated following...

This paper employs a production frontier approach that allows distinguishing technologic progress from efficiency development. Data on 35 African countries in 1970-2007 show that efficiency losses have constrained growth in Africa while technology progress has played a marginal growth enhancing...

This paper proposes Bayesian estimates for welfare effects of consumption fluctuations and growth. Annual data from 82 developed and developing countries indicate a large degree of uncertainty as regards point estimates. Moreover, the comparison between the welfare gain from consumption...

In West Africa, the Value Added Tax (VAT) policy consists of a uniform tax rate, but several items consumed by rich and poor households, are exempted. We provide an optimal tax framework to reflect on the welfare effects of such a tariff structure, in the context of current debates on domestic...

This paper looks at the relationship between natural resource degradation and income diversification for fishing communities in southern Benin. We find that the higher the degradation of the fishery stock, the more fishers diversify their income away from the fishery sector. However, given the...

We study the co-existence of two community-based institutions for fisheries management in Benin: a traditional institution embedded in the Voodoo religion and a recent secular institution in the form of fishing committees. Using household survey data on fishing activities, we find that rules of...

We study the co-existence of two community-based institutions for fisheries management in Benin: a traditional institution embedded in the Voodoo religion and a recent secular institution in the form of fishing committees. Using household survey data on fishing activities, we find that rules of...

This paper develops a small open economy (SOE) dynamic stochastic general equilibrium (DSGE) model that helps to explain business cycle synchronization between an emerging market and advanced economies. The model captures the specificities of both economies (e.g. primary commodity,...