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The aim of this paper is to apply recently developed panel cointegration techniques proposed by Pedroni (Oxford Bulletin of Economics and Statistics 61 (1999): Supplement, 653670; Econometric Theory 20 (2004): 597625) and generalized by Banerjee and Carrion-i-Silvestre (Working Paper 591, European...
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This paper studies the Balassa-Samuelson effect in 9 CEECs. Using panel cointegration techniques, we find strong empirical evidence in favour of what we call the internal transmission mechanism since productivity growth in the open sector is found to bring about non-tradable inflation. However,...
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