This study analysis the sustainability of the trade deficits in the two giant economies of Asia, namely India and China with allowance of endogenous structural breaks. We found that trade deficit is sustainable in case of India but not in case of China. This implies that macroeconomic policies...

In this paper we consider the possibility that a linear cointegrated regression model with multiples structural changes would provide a better empirical description of the Spanish environmental Kuznets curve during the period 1857-2007. Our methodology is based on instability tests recently...