A multisectoral global model was constructed on a 35 I-O sectoral basis in 1995 and has extensively been used for various policy analyses. The model, EITF, covers 29 countries and 7 regions with special reference to G7 and Asian countries. World trade can also be analyzed in the same sectoral categories, enabling the analysis of significant changes in foreign trade consistent with those for sec...

a r t i c l e i n f o This paper studies how financial development affects the volatility of GDP growth through the channel of sectoral reallocation. For 28 OECD countries over the period 1970–2007, we construct a benchmark industrial portfolio that minimizes the economy's long-term volatility for a given level of long-term labor productivity growth. We find that financial development substanti...

It is proved that stability multipliers such as Zames–Falb multipliers, Popov multipliers, and RL/RC multipliers, known to preserve positivity of monotone memoryless nonlinearities, do not, in general, preserve their incremental positivity. Our result implies that stability results based on these multipliers should be interpreted with caution since without incremental positivity the continuity ...

This paper applies current theory concerning the impact of irreversibility of investment, in order to test for the impact of uncertainty on investment expenditure for a middle income country. The contribution of the paper is unique in two respects. First, it employs dynamic heterogeneous panel estimation techniques not previously applied to investment functions. Second, it explicitly tests for ...