The ability of remittances to impact economic growth has long been recognized in the economic literature. This paper reinvestigates the impact of remittances on economic growth while accounting for income inequality. We analyze data from 60 developing countries for the 30-year period of...

Many studies have documented the missing relationship between PCE inflation and the labor market slack in the last 20 years. This paper first presents evidence of a strong sensitivity of price inflation to labor market tightness once we remove the late 90s from our sample and account for the...

According to empirical studies, there is a systematic pattern in the temporal behavior of asset returns and this is related to the business cycle. We propose a simple model that captures this behavior. This model is built around a state dependent preference structure where the state dependency...