Title:On the Predictability of Time-Varying VAR and DSGE Models
Author(s):BEKIROS, Stelios D.; PACCAGNINI, AlessiaDate:2012Type of Publication:ArticleAbstract:Over the last few years, there has been a growing interest in DSGE modelling for predicting macroeconomic fluctuations and conducting quantitative policy analysis. Hybrid DSGE models have become popular for dealing with ...
Title:On the Signaling and Feedback Effects of Umbrella Branding
Author(s):THAL, JeanineDate:2007Type of Publication:Working PaperSeries/Report no.:EUI MWPAbstract:I consider an adverse selection model of product quality to analyze a firm's incentives to sell different products under an umbrella brand. My main result is that umbrella branding can signal positive quality correlation ...
Title:Openness and the Case for Flexible Exchange Rates
Author(s):CORSETTI, GiancarloDate:2006Type of Publication:ArticleAbstract:Models of stabilization in open economy traditionally emphasize the role of exchange rates as a substitute for nominal price flexibility in fostering relative price adjustment. This view has been recently criticized on the ...
Title:Optimal Debt Bias in Corporate Income Taxation
Author(s):SIMON, JennyDate:2012Type of Publication:Working PaperSeries/Report no.:EUI MWPAbstract:I present a rationale for a government to discriminate between debt and equity financing when taxing corporate income. For risk-averse entrepreneurs, equity generates more surplus than debt, because it provides financing ...
Title:Optimal Information Transmission in Organizations: Search and Congestion
Author(s):ARENAS, Alex; CABRALES, Antonio; DANON, Leon; DIAZ-GUILERA, Albert; GUIMERA, Roger; VEGA-REDONDO, FernandoDate:2010Type of Publication:ArticleAbstract:We propose a stylized model of a problem-solving organization whose internal communication structure is given by a fixed network. Problems arrive randomly anywhere in this network and must find their way to their respective ...