We have first demonstrated that Debreu’s view regarding the publication of The Theory of Games and Economic Behavior by von Neumann and Morgenstern in 1944 as the birth of modern mathematical economics is not convincing. In this paper, we have proposed the hypothesis that the coordinated research programs in the 1930’s, initiated by the Econometric Society and the Cowles Commission for Research...

Significant numbers of U.S. commercial bank failures in the late 1980s and early 1990s raise important questions about bank performance. We develop a failure-prediction model for Connecticut banks to examine events in 1991 and 1992. We adopt data envelopment analysis to derive measures of managerial efficiency. Our findings can be briefly stated. Managerial inefficiency does not provide signifi...

Ala~traet--Errors-in-variables problems are considered for the case of three variables, where the underlying relations among the noise-free variables are linear, and covariance information for the noisy variables is available. The static problem where the variables are complex (which can arise when narrowband filtering is used) is analysed in detail. Some results are also presented for the case...

There is increasing interest in the ‘‘economics of happiness’’, reflected by the number of articles that are appearing in mainstream economics journals that consider subjective well-being (SWB) and its determinants. This paper provides a detailed review of this literature. It focuses on papers that have been published in economics journals since 1990, as well as some key reviews in psychology a...

Structural equation analysis is widely used in economics and social sciences. The model considered in this paper consists of two parts; a linear measurement model relating observed measurements to underlying latent variables, and a nonlinear structural model representing relationships among the latent variables. When the distributional form of the latent variables is unspecified, a pseudo likel...

where φ is the parameter of interest which models the relationship while U is an error term. Contrary to usual statistical regression models, the error term is correlated with the explanatory variables X, hence E(U |X) 6= 0, preventing direct estimation of φ. To overcome the endogeneity of X, we assume that there exists an observed random variable W , called the instrument, which decorrelates t...