This contribution studies the effects of credit contagion on the credit risk of a portfolio of bank loans. To this aim we introduce a model that takes into account the counterparty risk in a network of interdependent firms that describes the presence of business relations among different firms....

In this paper we study the relationship between the relative size of the U.S. nonprofit sector and population heterogeneity, at the county level, by adopting and extending the model of Alesina, Baquir and Easterly (1999). The relative size of the voluntary sector is assessed as a share of...

This paper challenges the assumption of separable preferences that has been applied throughout the existing empirical research on European Union (EU) legislative politics. Yet our analysis reveals that non-separable preferences are in fact a widespread phenomenon in EU politics. In many cases...

This paper introduces the notion of nowcasting causality for mixed-frequency VARs as the mixed-frequency version of instantaneous causality. We analyze the relationship between nowcasting and Granger causality in the mixed-frequency VAR setting of Ghysels 2012 and illustrate that nowcasting...

This paper attempts to check the existence of geographic and industry distance effects, alongside other microeconomic determinants, on firms’ decisions to engage in R&D collaboration. Physical distance is defined by geographical coordinates while the measure of industry distance is based on...

Several recent spatial modeling studies incorporate valence issues—e.g., voters’ evaluations of the candidates’ competence, integrity, and charisma—that may give one of the candidates an electoral advantage that is independent of his policy positions. However to date all such models...

This paper analyses a second-order polynomial spatial structure in the residues of a regression model. We propose a new specification that captures spatial dependence on two different levels, adding a new autoregressive cycle to the errors of the classical spatial error model (SEM). The...

The Prisoner’s Dilemma and Snowdrift games are the main theoretical constructs used to study the evolutionary dynamics of cooperation. In large, well-mixed populations, mean-field models predict a stable equilibrium abundance of all defectors in the Prisoner’s Dilemma and a stable...