This paper analyzes issues concerning the speed of adjustment and sequencing of reforms in a transition economy. It presents a dynamic general equilibrium model parameterized with Chinese data. The model is used to generate different policy simulations that highlight the importance of the policy...

This article estimates the relationship between the provision of public infrastructure and private output in sixteen sectors in Mexico. The sector-specific cost functions depend on wages, the cost of capital, and the nominal values of the stocks of three types of infrastructure: electricity,...

In this paper, we study the impact of labor market restructuring and foreign direct investment on the banking sector, using a dynamic general equilibrium model with a financial sector. Numerical simulations are performed using stylized Chinese data, and banks failures are generated through...

This paper examines possible ways for a developing country to finance budget deficits from domestic resources. It does so by analyzing Pakistan''s National Savings Scheme (NSS). The NSS has a number of unusual attributes, and its impact upon the economy of Pakistan is not clear, but given...

One objective of government investment is to develop public infrastructure which may reduce private sector costs. In a developing economy, the scope for payoffs to investments of this sort may be particularly large. A major concern related to the recent fiscal adjustment in Mexico is that it has...

This paper develops a dynamic computable general equilibrium model in which optimizing agents evade taxes by operating in the underground economy. The cost to firms of evading taxes is that they find themselves subject to credit rationing from banks. Our model simulations show that in the...

This paper analyzes certain policies that are typical of a number of rapidly growing East Asian countries in which a fixed exchange rate, combined with a surplus labor market, has made domestic assets relatively inexpensive, generating high rates of FDI as well as domestic capital formation....

Technological progress, human capital, and tax policies play an important role in growth. Recent models of endogenous growth based on technological progress predict that high technological progress and growth are associated with a high relative supply of skilled workers who earn constant or...

Technical regulations are a form of non-tariff barrier that is becoming increasingly visible in agricultural trade disputes. A distinguishing feature of technical barriers is their legitimate use by governments to protect consumers' health, recognize citizen preferences in packaging and...