This paper compares the extent of exchange rate pass-through at the aggregate level into CPI and import prices in Singapore and Hong Kong for the period 1980 to 2005. A priori one might expect that these two economies which have relatively small markets and are highly open with high degree of dependence on foreign goods for domestic consumption, will be faced with relatively high exchange rate pass-through. Results suggest that exchange rate pass-through in Hong Kong is higher than in Singapore. The paper further examines whether pass-through has changed over time in the two economies.
There are two counter-intuitive trends in technological collaboration currently at work, making collaborative patent applications less common but where they exist, the collaborations involve more partners. Patent data are used to examine these trends along with the impact of two recent policy changes, including the relevance for particular nations and technologies.
Can a decrease in tax rates increase tax revenues? If so, to what extent? This paper builds upon recent work by Mankiw and Weinzierl (2006) on the issue by incorporating public capital into a dynamic scoring. The significant components of growth effects and transition paths, along with the conditions under which a tax cut can “pay for itself” are illustrated using the familiar Laffer curve. It is shown that the productivity of public capital and the amount of revenue allocated to public capital investment have important impacts on the growth effects, transition paths and Laffer curves. Using standard labor and capital tax rates, the growth effects are shown to offset only 1 percent of the potential revenue loss from a labor tax cut and 46 percent of the potential revenue loss from a capital tax cut. A broader measure of tax rates from Feldstein (2006) shows that growth effects can offset approximately 30 percent of the potential revenue loss from a labor tax cut and approximately 157 percent from a capital tax cut. The latter result indicates that capital tax cuts may be more than just self-financing; they may actually increase tax revenues by 57 percent.
Using patent citation data for the U.S., we test whether knowledge spillovers in biotechnology are sensitive to distance, and whether that sensitivity has changed over time. Controlling for self-citation by inventor, assignee and examiner, cohort-based regression analysis shows that physical distance is becoming less important for spillovers with time.
In the past few years, the National Hockey League (NHL) has struggled financially. Teams within the NHL and the league itself have been struggling to make money, and last year the NHL season did not take place because of a labor dispute and resulting lockout between the players and owners. Therefore, this makes the NHL a very appropriate target for study. As previous research on various professional sports and the NHL have shown that winning teams are going to draw more fans, determining what makes NHL teams win games is a worthy endeavor. This study does just this. By using Ordinary Least Squares regression and a data set compiled on numerous individual and team statistics for the 1999-2000 through the 2003-2004 seasons, this study determines the various factors that contribute to Team Point production and Goals Allowed in the NHL. Of special note is the finding that Major Penalties, most commonly assessed for fighting, do in fact help NHL teams win games. Hopefully by seeing what aspects of the game lead to NHL team success, the league can determine how to draw more fans in order to make more revenue.
Network analysis shows a stable network between states, but a changing environment between individual actors, with a growing importance of connectedness. The popular maxim that everyone is connected by six degrees of separation is tested with surprising results.
The purpose of this study is to identify the effects of monetary policy and macroeconomic shocks on the dynamics of the Brazilian term structure of interest rates. We estimate a near-VAR model under the identification scheme proposed by Christiano et al. (1996, 1999). The results resemble those of the US economy: monetary policy shocks flatten the term structure of interest rates. We find that monetary policy shocks in Brazil explain a significantly larger share of the dynamics of the term structure than in the USA. Finally, we analyze the importance of standard macroeconomic variables (e.g., GDP, inflation, and measure of country risk) to the dynamics of the term structure in Brazil.