Karadimitropoulou, Aikaterini; León-Ledesma, Miguel A. - 2013
address this question by analyzing international co-movements of value added (VA) growth in a multi-sector dynamic factor … model. The model contains a world factor, country-specific factors, sector-specific factors, and idiosyncratic components … country-factors. The world factor appears to play a minimal role because, when using aggregate data, the world factor captures …