As was first stressed by the classical economists Adam Smith and David Ricardo, international trade plays a crucial role in growth process. The paper aims to analyze influence of foreign on economic performance wood processing industry (WPI) Czechia Slovakia. multivariate regression method (MLR), assumption tests for MLR models, Granger causality test were applied identify association between performance, indicators formed measure effects at level. revealed unidirectional Slovak WPI...

The European post-communist countries that have integrated into the Union are emerging market economies.However, their short-run economic performance does not correspond to observed business cycles of other global markets.The studied longer, and recessions more pronounced.Moreover, activity in is relatively low volatile, trade balance government purchases a significant countercyclical character.These core conclusions from our cycle study chosen countries.In study, we use both traditional...

The paper seeks to identify the essential global-economic macro-shocks resulting from efforts by consumers, firms, or government policies reduce social distancing, which caused a sharp temporary change in world economy during pandemic outbreak second quarter of 2020. purpose is fulfilled using simple two-period real-business cycle model. observed reaction global period 2020 measured deviation time series GDP and its components, labor, labor income, average product USA EU log-quadratic trend....

Abstract Background According to many studies, the transmission of oil prices retail fuel is asymmetric. Fuel react faster if rise and more slowly fall. Different standard econometric procedures lead different results. The Linex approach, which based on formulating non-linear adjustment cost function, reflects theory. It uses generalised method moments estimate reaction functions, demands observations. Objectives paper investigates price asymmetry in Croatian market using approaches...

Abstract This paper explains the business cycle characteristics in small open European Union Countries during COVID-19 pandemic. The panel cyclical components of GDP and its components, labour, average product labour were computed. study adopts a real model with importable, exportable, tradeable products to explain big EU countries. According results, countries pandemic correspond findings from papers worldwide. primary shock was decrease supply. An increase adjustment capital costs unusual...

Many empirical studies state that retail gasoline and diesel prices react more quickly when the crude oil price rises rather than decreases. In paper, we confirm these asymmetric reactions of fuel in selected cities United States America. We use adjustment cost function linear-exponential form to derive nonlinear reaction functions. The correspondent model is estimated with system's generalised method moments. allows us compute average one-gallon biases from increase by one dollar per barrel...

Using the structural vector auto-regression analysis of terms-of-trade, trade balance, output, consumption and investment cyclical components we show that relationship between terms-of-trade balance is negative shocks explain only a small fraction business cycles in Slovak economy.We use quarterly data constant prices period 1997-2014.The results are line with theoretical empirical studies contemporary world economic literature.The confirms Obstfeld-Svensson-Razin effect.The positive effect...

The value of the Slovak long-run elasticity substitution is relatively slow – about 0.10. It follows from estimate low-frequency econometric model. Econometric form given by capital demand derived first-order conditions firm maximizing its profit. Due to robustness we use different measures economic variables. basic data gathered National Bank Slovakia portal consists real and nominal output, capital, output price interest rates. A challenge find time series. One way a net investment...

In our research we estimate the elasticity of substitution post-communist economies integrated in European Union. There are many approaches to production function coefficients as substitution. We argue that a frequency panel model is suitable econometric tool for purposes. derive specification from capital demand first-order condition firm maximising its profit. Data adapted World Penn Tables and Development Indicators, Bank. modified with band-pass filter abstract them business cycles...

Different theoretical and empirical studies lead to the different results. theories suggest a positive as well negative relation between terms-of-trade trade balance. The traditional Keynesian Harberger-Laursen-Metzler effect of on balance is positive. According Obsfeld-Svensson-Razin smaller, higher persistence shocks is. do not support statistically significant impact output in developing countries. goal paper verify an Slovak Czech Croatian business cycles balances. Using structural...

An assumption that a central bank can influence the real interest rates is object of our interest. In paper we form and solve model which corresponds to Romer's (2000) assumptions. Our IS-LM augmented by conception price-adjusting after monetary intervention inflation expectations. A policy rule derived from model. Moreover, it offers demonstration economic behaviour different assumptions schools, similar one in book Heijdra (2002).

According to many studies, the transmission of oil prices retail fuel is asymmetric. Fuel react faster if rise and more slowly fall. We use simple dynamic asymmetry models, error correction threshold autoregressive cointegration, an approach based on adjustment cost function in linear-exponential form verify hypothesis asymmetric reactions gasoline diesel Croatia. The analysis uses a weekly time series Croatian obtained from European Commission Weekly Oil Bulletin BRENT US Energy Information...

Following Surico (2007a, b), we analyse the monetary policy of National Bank Slovakia (NBS). We can verify by mentioned approach potential asymmetries in preferences authority as well nonlinearity economic structure. If a policymaker has asymmetric for output stability, he cannot commit his policy. Such known time-consistency problem and systematically produces an inflation bias. Our conclusions be interpreted frame discussion about prospects future membership Slovak economy European...

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Abstract The terms-of-trade shocks are not main source of business cycles in three post-communist countries (i.e., Slovakia, the Czech Republic, and Croatia). zero or negative reactions trade balance positive exhibit Obstfeld-Svensson-Razin effect, according to which Harberger-Laursen-Metzler effect on indicates that smaller balance, more persistent shock is. conclusions come from structural vector autoregressive analysis cyclical components terms-of-trade, output, consumption, investment countries.