In contrast to the cheap talk literature, our laboratory experiment studies the impact of monetary incentives on real, costly and truthful communication effort choices. It investigates and confirms some predictions of the Dewatripont and Tirole's (2005) modes of communication model.The...

This paper describes an algorithm to compute the distribution of conditional forecasts,i.e. projections of a set of variables of interest on future paths of some othervariables, in dynamic systems. The algorithm is based on Kalman filtering methods andis computationally viable for large vector...

At a time when debt-to-GDP ratios are closely monitored in the Euro area, thispaper generates a set of stylized facts about sovereign debt and yields. First, Ipresent a new dataset on outstanding debt securities and yields for six EA countries(Belgium, Finland, France, Germany, Italy and Spain)...