The power of standard panel cointegration statistics may be affected by misspecification errors if proper account is … when testing the null hypothesis of no cointegration that retain good properties in terms of empirical size and power … panel cointegration statistics rely on the assumption of cross-section independence, a generalisation of the tests to the …

Most of the empirical literature on consumption behaviour over the last decades has focused on estimating Euler … policy relevant issues. Alternatively, many papers have proposed using the consumption function to forecast behaviour. This … paper follows in this tradition, by deriving an analytical consumption function in the presence of intertemporal non …

We assess the cointegration relationship between current account and budget balances, and effective real exchange rates …, using recent bootstrap panel cointegration techniques and SUR methods. We investigate the magnitude of the relationship … panel cointegration tests used allow for within and between correlation, while the SUR results show both positive and …

deleveraging help explain the dismal performance of US consumption since 2007 in the aftermath of the housing bubble. By separating … meaningful drag on consumption over and beyond income and wealth effects. The overall impact, however, is modest - around one …-sixth of the slowdown in consumption between 2000-06 and 2007-12 - and mostly driven by states with particularly large …

deleveraging help explain the dismal performance of US consumption since 2007 in the aftermath of the housing bubble. By separating … a meaningful drag on consumption over and beyond income and wealth effects. The overall impact, however, is modest … -- around one-sixth of the slowdown in consumption between 2000-06 and 2007-12 -- and mostly driven by states with particularly …