This paper develops a tractable dynamic term structure models under jump-diffusion and regime shifts with time varying transition probabilities. The model allows for regime-dependent jumps while both jump risk and regime-switching risk are priced. Closed form solution for the term structure is obtained for an affine-type model under loglinear approximation. JEL Classification: G12, E43, E52

In adult cats, retinal ganglion cells of the beta class project almost exclusively to the lateral geniculate nucleus rather than to the superior colliculus (SC). We have examined whether this target specificity is present during early development. To identify ganglion cells that send axons to the SC in development, rhodamine-labeled microspheres were deposited in the SC at embryonic day (E) 38,...

This paper derives the optimal size and timing of interest rate target changes. Despite the simplicity of the optimal rule, we are able to replicate a number of puzzling features of interest rate targeting observed in practice, as well as explain some dynamic properties of market interest rates. Extensions to deal with monetary policy cycles, anticipated and unanticipated target changes, and th...

Layer I, which plays an important role in the development of the cerebral cortex, expands in size and diversity in primates. We found that, unlike in rodents, in the macaque monkey, neurons of this layer are generated during the entire 2 month period of corticogenesis, within the middle of the 165-d-long gestation. The large, classical Cajal-Retzius cells, immunoreactive to reelin and calretini...

Orthopaedic injuries comprise a majority of combat injuries seen in recent US military conflicts. The development and increased use of modern body armor, which has been correlated with decreased chest and upper abdominal injuries (Mabry et al., 2000), will likely continue to result in an increased relative rate of extremity injuries. These injuries commonly present with significant open bone fr...

The marginalist and subjectivist revolution led by Carl Menger during the second half of nineteenth century turned Economics into a science. However, classical value theory did not completely fade away it has been trying continiously to replace subjetivist theory. most serious exhaustive attempt recover in its Ricardian version was one developed italian economist Piero Sraffa. This article seek...

We investigate the heterogeneous boom and bust patterns across countries that emerge as a result of global shocks. Our analysis sheds light on emergence core periphery countries, joint determination depth recessions tightness credit countries. The model implies interest rates are similar in booms, with larger output growth However, common shock leads to crunch globe gives rise sharper spike dee...

In this paper we develop the first search-theoretic monetary model of a two-country global economy. We show the connection between deep monetary frictions (i.e. search and matching frictions), capital holdup externalities, and the realization of an endogenous departure from the “excess smoothness” problem in the real exchange rate found in standard models. Using this alternative monetary model,...

Central bankers’ conventional wisdom suggests that nominal interest rates should be raised to implement a lower inflation target. In contrast, I show that the standard New Keynesian monetary model predicts that nominal interest rates should be decreased to attain this goal. Real interest rates, however, are virtually unchanged. These results also hold in recent vintages of New Keynesian models ...

∗The authors would like to thank the Editor and a referee for some very thoughtful and constructive comments on an earlier draft of the paper. This research has been supported by Australian Research Council Discovery Grant No. DP0208333 and a Ph.D. Scholarship from the School of Business Systems, Monash University. All numerical results in the paper have been produced using the MATLAB software....