This paper applies the recently developed econometric methods of panel unit root tests and non-linear mean-reversion to investigate price convergence in China --the largest transitional economy in the world. We find that prices did converge to the law of one price in China for an overwhelming majority of goods and services based on a large panel dataset. The finding sheds light on the extent of...

Given the unforeseen and uncertain circumstances during pandemic, role of government expenditure becomes extremely relevant in sustaining lives livelihoods masses. This brings forth public sector deficit as a key issue macroeconomic policy debate. article aims at investigating effects an unanticipated adverse shock like COVID-19, on real value debt, small open economy, consisting traded non-tra...

96 words Text (including References, Tables and Appendices): 13,216 words JEL classifications: I12, I31, I20, I18

Abstract This article provides an empirical case study of the impacts COVID-19 pandemic on global beverage markets, particularly wine sector. Both international trade and domestic sales have been adversely affected by temporary shifts away from on-premise social distancing measures self-isolation that led to closure restaurants, bars, clubs, plus declines in travel tourism. Partly offsetting th...

We consider a dynamic macroeconomic model with households that regard relative affluence as social status. The measure of relative affluence can be the ratio to, or the difference from, the social average. The two specifications lead to quite different results: with the ratio specification full employment is necessarily realized, whereas with the difference specification persistent shortages of...

Macroeconomics is in crisis and this creates openings for alternative perspectives. The dominant heterodox traditions, however, have shortcomings that need to be addressed, both to improve our understanding of the real world and to take advantage of the opportunities offered by the irrelevance of most mainstream macro. This paper discusses three examples of areas that need attention: (i) invest...

Search Frictions on Product and Labor Markets: Money in the Matching Function This paper builds a macroeconomic model of equilibrium unemployment in which firms persistently face difficulties in selling their production and this affects their decisions to create jobs. Due to search-frictions on the product market, equilibrium unemployment is a U-shaped function of the ratio of total demand to t...

We consider a dynamic macroeconomic model with households that regard relative affluence as social status. The measure of relative affluence can be the ratio to, or the difference from, the social average. The two specifications lead to quite different results: with the ratio specification full employment is necessarily realized, whereas with the difference specification persistent shortages of...

Article history: Received 18 March 2009 Received in revised form 11 September 2009 Accepted 2 March 2010 Available online 7 March 2010 JEL classifications: C92 D03 H41