CEU Electronic Theses and Dissertations, 2007
| Author | Mammadov, Kamran Nadir |
|---|---|
| Title | Business Fluctuations in CIS vs. Developed Markets. Theoretic-Empirical approach. |
| Summary | This paper investigates whether a standard business cycle model can be used to characterize both CIS and Developed markets business fluctuations. This model demonstrates which moments are informative. My methodology of estimating theoretical moments is calibration. The procedure of comparison is based on using the data containing output, consumption, investment and net exports for CIS and Developed European markets to identify the underlying productivity processes by comparing the empirical data results for these informative moments. Based on the model, I find that autocorrelation of net exports to income with income as well as relative volatility of consumption and net exports to income appears to be informative. The empirical results show that, consumption of households is forty percent more volatile relatively to output while output itself is four times more volatile in CIS countries than in developed countries. Moreover, a net export to income volatility is four times volatile in CIS countries than their counterpart group. Thoroughly analyzing the model shows robust results for these informative moments in regard to empirical ones. |
| Supervisor | Attila Rátfai |
| Department | Economics MA |
| Full text | https://www.etd.ceu.edu/2007/c05mak01.pdf |
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