Mexico has reported workers remittances to equal $16.6 billion in 2004, which constitutes nearly 2.5 percent of Mexicos GDP, exceeding the inflows from direct foreign investment and aid. We develop a model of remittances based on a net income concept. The model is used to generate a series of...

This paper characterizes a set of Nash equilibria in a first-price sealed-bid repeated auction with the right of first refusal using two bidders and asymmetric information regarding the bidders' value distributions. When contract value is constant from one auction to the next and winners' values...

Consistent aggregation assures that behavioral properties, which apply to disaggregate relationships also, apply to aggregate relationships. The agricultural economics literature is reviewed which has tested for consistent aggregation or measured statistical bias and/or inferential errors due to...

The sensitivity of asset fixity conclusions, input adjustment rates, and elasticities to choice of functional form is examined using a dynamic dual model of U.S. agriculture. A very general initial specification allows tests of instantaneous adjustment to be performed for every input. Test...

In empirical models like inter-regional input-output models and inter-regional computable general equilibrium models it is essential to know the economic linkage between regions in the form of inter-regional trade and factor flows. This report describes several approaches to estimating...

Bilateral investment treaties (BITs), signed by developing countries explicitly state the objective of promoting foreign direct investment (FDI). The rapid increase in the number of BITs and the concurrent increase in worldwide flows of FDI between 1980 and 2003 suggest that BITs are an...

We use monthly time series data for Poland and Hungary to assess the impact of differences in the pace of implementation of economic reforms. The selected policy variables are a measure of reforms in both the domestic and external sectors of the economy, and they also indicate the initial level...

Contingent wildfire insurance and fuel management cost-sharing programs are becoming more prevalent in western states. This paper develops a model to examine the incentive effects of these two mechanisms for private investment in wildfire risk mitigation. The model shows that contingent...

Under the Clean Development Mechanism (CDM) of the Kyoto Protocol, forest projects can receive returns for carbon sequestration via two crediting instruments: temporary or long-term certified emission reductions (tCERs or lCERs). This study shows the effect of lCERs on the private owner’s...

The authors develop a Markov regime‐switching time‐varying correlation generalized autoregressive conditional heteroscedasticity (RS‐TVC GARCH) model for estimating optimal hedge ratios. The RS‐TVC nests within it both the time‐varying correlation GARCH (TVC) and the constant...