The paper explores the linkage between equity and commodity markets, focusing in particular on its evolution over time. It documents that a country’s equity market value has significant out-of-sample predictive ability for the future global commodity price index for several primary commodity-exporting countries. The out-of-sample predictive ability of the equity market appears around 2000s. The...

This paper investigates the impact of acquisition FDI on exporting intensity in U.K manufacturing. A quasi-likelihood estimation method is used, and the empirical estimates point to the following conclusions: (i) UK firms with higher exporting intensity are more likely to be foreign takeover targets; (ii) US acquired firms increase their exporting intensity, consistent with the idea that acquis...

Introduction. This paper aims to assess time variability of beta coefficients (systematic risk) Capital Asset Pricing Model (CAPM) using data from five key sectors in Saudi Arabia and Kuwait stock markets. Material methods. To – varying systematic risk we employed symmetric as well asymmetric conditional volatility specifications account for skewness leptkurtosis high frequency financial series...

A number of oil market experts argue that OPEC members substantially overreport their reserves. The potential damage for the world economy calls for an analysis of the motives and the preconditions for successful misreporting of natural resource reserves. Based on a signalling game within an international trade model, this article develops a framework for such an analysis. Exporting countries w...

We investigate the effect of credit constraints on the growth of exports at the micro level. We develop a stylized dynamic model showing credit constraints play a key role in early stages of exporting, but not in later stages. Our empirical results using product level data on exports to twelve European Union members and the U.S. support the model’s predictions: exports from more credit constrai...

This paper discusses the policy issues facing the country of Sno TomJ e PrRncipe, a small island country in the Gulf of Guinea, given the discovery and imminent exploitation of large reserves of oil in its territorial waters. While presenting huge opportunities, the history of other African oil-exporting countries demonstrates that there are dangers as well. An appropriate policy for macro bala...