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In 1978, Singapore became the first country to introduce legislation allowing foreign domestic workers to work in the country under special visas. Although Singapore is often cited in the literature as a success story, no studies have quantified the impact of this legislation. In this paper, we...
We examine the role of foreign debt and financial frictions in the Korean business cycle using a small open economy DSGE (dynamic stochastic general equilibrium) model where domestic banks borrow external funds, denominated in foreign currencies, for a risk premium and make loans to domestic...
This paper produces the first cross-country evidence on the relationship between the size of foreign exchange reserves and local currency internationalization using a sample of Switzerland, Japan and the UK. It finds that a high ratio of foreign exchange reserves to international reserves has a...
The existence and the direction of the relationship between globalization and real GDP (RGDP) are very debatable. By employing annual data of 92 countries from 1970 to 2011, we apply Pedroni’s [Econometric Theory, 20, (2004) 597–625] panel cointegration test and the panel vector autoregressions...
We consider a dominant upstream firm selling an input to several downstream firms through observable, non-discriminatory two-part tariff contracts. Downstream firms can alternatively buy the input from a less efficient source of supply. In this setting, we analyze the relationship between the...
In this study, we apply a stationarity test with a flexible Fourier function proposed by Enders and Lee [Oxford Bulletin of Economics and Statistics, 74 (2012) 574–599] to test the convergence of China’s urbanization. We find that our approximation has greater power to detect U-shaped and smooth...
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