Income under-reporting estimates based on households data as well as the size of the shadow economy are of interest to academics as well as policy makers. For that purpose, various methods have been developed using micro/survey data as well as aggregate/macro data. This study applies the micro...

A unifying framework for inference is developed in predictive regressions where the predictor has unknown integration properties and may be stationary or nonstationary. Two easily implemented nonparametric F-tests are proposed. The test statistics are related to those of Kasparis and Phillips...

We provide empirical support for an analytical DSGE model with nominal wage stickiness where growth is driven by learning-by-doing and money shocks and their variance are allowed to impact on long-run output growth. In our theoretical model the variance of monetary shocks has a negative effect...