There is evidence that real output responds asymmetrically to monetary shocks. Models advanced by Tsiddon and Ball and Mankiw argue that the degree of asymmetry to demand shocks is sensitive to inflation. Using data on manufacturing, services, construction, energy and agricultural output, this...

This paper uses a recently developed nonlinear Granger causality test to determine whether linear orthogonalization really does remove general stock market influences on real estate returns to leave pure industry effects in the latter. The results suggest that there is no nonlinear relationship...

This paper investigates business failure of newly-established software firms. Using a proportional hazards model, we estimate the determinants of business failure among software firms in Japan founded during 1986-1995. The main findings of this paper are as follows. First, software firms with...

The variance of the inflation rate estimator in the stochastic approach of Clements and Izan will be biased in most applications due to stringent restrictions on the variance of the OLS error term. To overcome this weakness, the stochastic methodology is reformulated and extended by deriving a...

Standard microeconomic theory has long recognized firm-level substitution and output effects in explaining aggregate responses to taxation of an input such as nitrogen fertilizer. However, in the presence of managerial heterogeneity, a nitrogen tax will also affect the composition of the...

Using Imhof's method, the exact distribution of a unit root test is evaluated and detailed critical values are given of the unit root test when the sample size is small and moderate. Then, the bootstrap critical values are generated by Monte Carlo experiments, and compared with the exact ones....

The study investigates the impact of budget deficits on ex post real long-term interest rates over the 1973-1995 period, thereby addressing an interest rate measure and time period, i.e. beyond the mid-to late-1980s, that have received only limited attention in the literature. The instrumented...

A model is developed for the quality cost of a product as the product perfection rate varies and the minimum quality cost model is discussed. The sample data from STMT Inc. for the years 1994 and 1995 is used to show how to establish the model using the linear regression model method.

Mortgage termination due to prepayment is an important issue in the pricing of mortgage and mortgage-backed securities (MBS) due to its stochastic nature. In developing countries where MBS is not yet fully developed, mortgage termination affects the flow of funds to the lenders. Recent...

This paper compares the degree of inter-country inequality in three measures of human development (the Human Development Index (HDI), the Gender-Related Development Index (GDI) and the Gender Empowerment Measure (GEM)) to those in real income as measured by real GDP per capita in PPP$ (RY) and...