In this paper, we build a Computable General Equilibrium (CGE)-microsimulation model for the economy of Nicaragua following the Top-Down approach (see Bourguignon et al., 2003), that is, the reform is simulated first at the macro level with the CGE model, and then it is passed onto the...

The superiority of full information approaches when estimating a system of equation is well known for large samples. However, less is known about the small sample properties of these estimators relative to limited information approachs. This is especially true for the context of Panel data...

This paper proposes a new likelihood-based panel cointegration rank test which allows for a linear time trend with heterogeneous breaks and cross sectional dependence. It is based on a novel modification of the inverse normal method which combines the p-values of the individual likelihood-ratio...

Panel vector autoregressive (PVAR) models can include several countries and variables in one system and thus are well suited for global spillover analyses. However, PVARs require restrictions to ensure the feasibility of the estimation. The present paper uses a selection prior for a data-based...

Risks and uncertainties (e.g. IT-system failure or demand fluctuation) threaten the performance of supply chains. This paper gives insight into the planning of flexibility potential as a crucial tool for managing the consequences of operational and disruptive uncertainties. A simulation study of...

In the paper we analyze the economic, social, cultural, institutional and political factors that determine regional demand for services like "insurance". As economic factors, we analyze the impact of non-governmental credit over the insurance market. Development of an econometric model is based...

The paper scrutinizes the role of wages and capital flows for competitiveness in the new EU member states in the context of real convergence. For this purpose it extends the seminal Balassa-Samuelson model by international capital markets. The augmented Balassa-Samuelson model is linked to the...

In our research we estimate the elasticity of substitution post-communist economies integrated in European Union. There are many approaches to estimate the production function coefficients as the elasticity of substitution. We argue that a frequency panel model is suitable econometric tool for...

While stock market expectations are among the most important primitives of portfolio choice models, their measurement has proved challenging for some respondents. We argue that the magnitude of measurement error in subjective expectations can be used as an indicator of the degree to which...

Ownership takeovers often follow complex strategies where the control of the target firm is acquired through a sequence of independent contracts. We study the role of capital gain taxes on the contract structure and on the method of finance of merger and acquisitions (M&As). We find that capital...