Given the decline in growth momentum in the manufacturing sector in many OECD countries, the role of knowledge-based capital has emerged as a key driver for sustained growth. While empirical studies on estimating knowledge spillovers have usually been undertaken at the country level, the...

Abstract: This paper applies cointegration analysis and Granger non-causality tests in order to identify the direction of causality between migration in Greece and two macroeconomic variables: GDP and unemployment. We use annual data for the 1980-2011 period. The data are drawn from the...

This paper develops a very simple model to explain the phenomenon of persistent unemployment even in an economy experiencing high output growth. Unemployment will also grow at a rate identical with other factors and sectors. The result is primarily triggered by pre-fixed minimum wage rate for...

Classical economics envisaged to reach the subsistence level of wages in the long term. Keynes, however, argued that it would be sticky downward wages with trade union activities. Since the 1930s, governments have begun to phase out the laws of the minimum wage to support employees' income...

Following Miguel et al. (2004), we use temperature and hours of sunshine variations as instrumental variables for economic growth in 27 Chinese provinces during 1981--98. Our 2SLS (Two-stage least squares) regression finds that growth has no significant effect on financial deregulation after...

In examining some big questions on African development, we provide evidence that dynamics of some development indicators could support both endogenous and neoclassical growth theories in the convergence debate. This paper investigates convergence in real per capita GDP and inequality adjusted...