We re-examine the validity of Purchasing Power Parity (PPP) proposition using Taylor's (2002) data set. Applying the Kalman filter process, our findings not only demonstrate the strong instability in the relationship between the dollar denominated foreign price levels and the US price level, but...

Total Factor Productivity (TFP) not only plays a crucial role on economic development but also on its sustainability. Sustainability is frequently measured by Inclusive Wealth (IW) which is defined as the aggregate value of capital in all forms, human, physical, and natural. According to Arrow...