This article investigates the problem of a regulated imputed good which is used in the production process of the final goods. The relationship between the firm producing the essential input factor and the regulating authority is described by a standard principal-agent setup. By assuming a fixed...

We explore some empirical properties of Austria's "Investment Development Path" (IDP) on the macro level as well as on the structural and the bilateral level. Three dimensions are analyzed, namely the growth, the stability, and the sign of the Net Outward Investment Position (NOIP). While the...

High inflation economies have ultimately been successful in stabilising their prices using the exchange rate as a nominal anchor. Besides stabilization, these recent examples have shown boom-recession cycles, contrary to what can be expected from (pure) money-based stabilizations. Various...

R&D plays a dual role: First, it generates new knowledge and second, it develops a firm's absorptive capacity. Most of the existing strategic investment game models neglect, however, the second role of R&D. The aim of this paper is to incorporate the absorptive capacity hypothesis in such a...

The point of departure of this study is that in the 1930s Oskar Morgenstern, well-known as the co-founder of game theory, was preoccupied by his activities in Austrian economic policy, possibly even more so than with his project to revolutionize economic theory. The main questions to be examined...

The 1990s were an extraordinary period for the US economy, both because of declining budget deficits and beginning budget surpluses, as well as for high rates of economic growth. This paper confronts the conventional wisdom that high growth rates caused budget improvements, and claims that...

The aim of this paper is to analyze the pattern of speculation-led growth in Turkey. It is dependent on international capital flows, whose continuity becomes more and more critical given the current account deficit, which is estimated to reach 6.1% as a ratio to GDP at the end of 2005. The paper...

The purpose of this paper is to test the effects of labor cost, openness, and demand side variables on employment for the case of Turkey using the panel data of private manufacturing industry at three digit level for 25 sectors for the period of 1973-2001. We use a seemingly unrelated regression...

The aim of this paper is to estimate the effect of FDI and trade openness on wages in the CEECs in the post-transition era. We utilize a cross-country sector-specific eceonometric analysis based on one-digit level panel data for manufacturing industry in the Czech Republic, Hungary, Poland,...

Using a sample of 21 OECD-countries we measure productivity in top-edge economic research by using data envelopment analysis (DEA). DEA is a tool for evaluating relative efficiency and is widely used when there are multiple inputs and outputs and one lacks a specific functional form of a...