The censored regression model and the Tobit model are standard tools in econometrics. This paper provides a formal asymptotic theory for dynamic time series censored regression when lags of the dependent variable have been included among the regressors. The central analytical challenge is to...

It has been common to assume that the relationship between economic activity and oil prices is asymmetric. Theoretical underpinnings for this asymmetry include costly sectoral reallocation, partial equilibrium models of irreversible investment, and some version of precautionary savings. Yet,...

This paper tests the three leading specifications of asymmetric and possibly nonlinear feedback from the real price of oil to U.S. industrial production and its sectoral components. We show that the evidence for such feedback is sensitive to the estimation period. Support for a nonlinear model...

This paper extends the framework of Green and Porter (1984) and Porter (1983a) to encompass the case of a cartel (OPEC) faced by a competitive fringe (non-OPEC oil producers). Estimation of a simultaneous equation switching regression model allows us to examine which market structure better...

Theoretical explanations for price stickiness used in businesses cycle models are diverse (e.g., information processing delays, rational inattention and fair pricing), with each theory resulting in a different implication for inflation dynamics. Using an autoregressive conditional binomial...

Dada la multiplicidad de factores que pueden afectar el desempeño empresarial, tanto para los empresarios mismos como para las autoridades económicas de los países es preciso establecer la severidad de estos obstáculos para enfocar sus esfuerzos en los problemas más críticos. En este...

On average, Latin American firms are small with respect to world patterns, both in terms of the quantity of assets they control and the amount of employment they generate. We examine data on firm size from developed and developing countries around the world to assess the influence of demand,...