Using data from 11 main manufacturing industries in 17 OECD countries, this paper empirically investigates the determinants of cross-country differences in the persistence of productivity differentials Specifically, we focus on the effects of product market structure and technology diffusion. It...

Previous assessments of nominal exchange rate determination have focused upon a narrow set of models typically of the 1970’s vintage, including monetary and portfolio balance models. In this paper we re-assess the in-sample fit and out-of-sample prediction of a wider set of models that have...

This paper investigates output convergence for the G7 countries using multivariate time series techniques. We consider both the null hypotheses of no convergence and convergence. It is shown that inferences on output convergence depend on which one of the two null hypotheses is considered....

Greece has reached a point where, under any plausible macroeconomic scenario, public debt will continue growing faster than GDP. Fiscal consolidation alone cannot close the solvency gap. A substantial reduction in the stock of debt is needed. Even post-debt restructuring, there is no guarantee...

This paper investigates cross-country productivity convergence at a sectoral level using multivariate unit-root tests. Our empirical analysis counts with three distinctive features. First, it allows all the coefficients in the panel specification to vary across countries. Second, it accounts for...

We examine the relationship between market structure and the persistence of US dollar-based sectoral real exchange rates for 14 OECD countries. Our empirical results based on disaggregated data suggest that differences in market structure significantly determine the rates at which deviations...