We examine a two country world. We endow each of the countries with externalities from both private and public capital that enable endogenous growth. We show conditions under which an equilibrium exists where both economies grow at constant but different rates.

Most DSGE models and methods make inappropriate asymmetric information assumptions. They assume that all economic agents have full access to measurement of all variables and past shocks, whereas the econometricians have no access to this. An alternative assumption is that there is symmetry, in...

The migration of labour can affect economies in several ways. This paper focuses on two of the economic impacts of migration in the context of the recent Welsh experience. Firstly, since migration is a key aspect of labour market flexibility, it is a mechanism through which local and regional...

The migration of labour is a mechanism through which local and regional labour market differentials can be reduced. It is likely that this mechanism will assume greater importance in the future so long as government assistance to deprived areas continues to decline, firms remain relatively...

This paper provides a theoretical and empirical examination of the e®ect of debt structure on the probability of a currency crisis and the slope of the yield curve. We employ an open-economy version of the Barro-Gordon model with public debt, as in Benigno and Missale (2004) and generalize the...

This paper examines the relationship between remittances from interna- tional migration and imperfections in labour and capital markets. We use a search-matching model of the labour market to show that remittances can have two opposing effects on the labour market of the source country. First,...

We estimate an alternative type of monetary policy rule, termed Calvo rule, according to which the central bank is assumed to target a discounted in?nite sum of future expected in?ation. Compared to conventional in?ation forecast-based rules, which are typically of the Taylor-type with discrete...

The paper presents a closed economy model of endogenous growth driven by capital externalities arising from both private capital and public infrastructure. The model is calibrated to fit data for India, an approxmiately closed economy. Simulations suggest that fiscal policy certainly matters and...

We focus on the political economy question of how incentives to reform are likely to be affected under the unique policy regime provided by the EMU. We develop the analysis using an extended ins & outs Barro-Gordon model of inflation and public expenditure within a framework where labour market...

This paper uses data drawn from the English Football League to model hazard rates for club managers in the 2002/3 season. Nearly one-third of managers involuntarily exited employment status with their club in that season. We model the hazard on the basis of a spell at risk, rather than the...