Chong et al. (2008) found only limited support for the income convergence hypothesis among 15 OECD nations using a nonlinear unit root test. We find considerably greater evidence of convergence by allowing for breaks in the test's time trend.

This study uses cohort data to analyse the observed (or gross) salary differential between male and female primary school teachers. The teachers in this sample, who are all employed in state-sector schools in the same geographic locality, are observed 20 years after first entering the teaching...

Several studies have investigated whether the terrorist attacks of September 11, 2001, have had an ongoing or merely transitory effect on US trade in tourism. All conclude in favor of the latter. However, limitations in either the data and/or methodology employed by these studies give cause to...

Of the hundreds of empirical studies examining the determinants of aggregate export volumes, almost all are based on a theoretical model that assumes that firms are operating in an identical environment. The very few studies that attempt to relax this assumption are all subject to their...

We investigate the effect of trade liberalization on the price and income elasticities of demand for imports in five Central American economies. In contrast to recent studies, we find that liberalization has had little impact on import demand's sensitivity to price. However, the income...

Pippenger (2011a) proposed a solution to the longstanding forward-bias puzzle that attracted several comments, to which he has recently replied (Pippenger, 2011b). In this rejoinder it is argued that the points Pippenger raises in defence of his solution do not effectively rebut the concerns...

In a recent paper in this journal, Atesoglu argued that the reduction in the rate of economic growth in the United States since 1973 was largely due to an increase in the income elasticity of demand for imports, following Thirlwall's law. The purpose of this paper is to show that the evidence...

The results of previous time-series studies of the income convergence hypothesis indicate that practically no African economies are systematically closing their income gap with the rich world. This implies that almost the entire continent is not ‘developing’ in the literal sense of the term....