Using a Markov-switching regime change model applied to Finnish money market interest spreads we find that unobserved changes from tightening to loosening monetary policy are important when examining the explanatory power of interest rates on future inflation changes. The unobserved regime...

The paper re-examines the role of the collapse of Soviet/Russian trade in the Finnish depression of the 1990's, using time series analysis based on a theoretical open macro model. It is shown that empirically, the strong credit expansion resulting from the simultaneous liberalization of the...

Recently introduced measure for Economic Policy Uncertainty (EPU) seems to have a role to play in forecasting out-of-sample values for the future real economic activity both for the euro area and the UK economies in the monthly data from 1997-2016. Inclusion of EPU measures either for the US, UK...