The empirical study of technology shocks is intensively conducted to evaluate plausibility of the technology-driven real business cycle hypothesis. A popular method is to identify technology shocks by the long-run restriction that those solely have permanent effects on labor productivity in the...

This paper examines the future evolution of the Asian currency arrangements from broader perspectives, including the optimal currency area theory and the experience with the European Currency Unit (ECU). Most academic literature on this topic concurs that the optimal currency area conditions...

This paper studies supply and demand factors that explain the recent decline in bank lending growth in the U.S. and Europe. During 2008, bank lending growth in the U.S. and Europe declined while lending rates remained relatively constant. This phenomenon was also observed in Japan during the...