This Online Appendix to the paper titled “Progressive Learning” presents the proof of Lemma 0, an extension of our equilibrium characterization allowing for mixed strategies, an analysis of the full commitment case, and details for Example 4 showing that path dependence can arise even when shocks are ergodic. JEL Classification Codes: C73, D86

This paper provides a theoretical fractional cointegration analysis in a nonparametric framework. We solve a generalized eigenvalues problem, extending Bierens’ (1997) approach. To this end, a couple of random matrices is constructed, distinguishing between stationary and nonstationary part of the fractional integrated process. The asymptotic behavior of such matrices is studied and convergence...

We investigate the connection between equilibrium existence and its attainability through simple market mechanisms in exchange economies with indivisibilities and complementarities. The analysis suggests that attaining efficient outcomes through simple non-combinatorial auctions may be problematic even when market clearing prices exist. JEL classification code: C62, D44, D51

The purpose of this paper is to provide a normative analysis of some migration issues. Our main objective is to develop a social-choice theoretical framework to evaluate alternative immigration policies of a country. For illustrative purposes, we present some simple results that are characterizations of some policy evaluation functions that have some specific features. JEL Classification Number...

Differential tax analysis is used to show how the optimal mix of inflation tax and direct taxation changes with the relative size of the hidden economy. The larger the relative size of the hidden economy, the smaller the optimal ratio of direct tax to inflation tax. Anecdotal empirical evidence supports this result. JEL Classification: E62, H21, H26, O17.

This paper discusses those sources of endogenous growth arising from labor as labor. It uses a production function which models the returns to scale as a function of the division of labor and learning. Smithian analysis of the labor process constitutes the basis upon which we build our own approach. © 2001 Elsevier Science B.V. All rights reserved. JEL classification: D24; J24; O41

Analysis of the economic effects of constitutional rules has made substantial progress over the last decade. This survey provides an overview of this rapidly growing research area and also discusses a number of methodological issues and identifies underresearched areas. It argues that the next logical step of Positive Constitutional Economics is to endogenize constitutional rules. JEL classific...

This paper proposes new iterative reduced-rank regression procedures for seasonal cointegration analysis. The suggested methods are motivated by the idea that modelling jointly the cointegration restrictions at the different frequencies may induce some efficiency gain in finite samples. Monte Carlo simulations indicate that the new tests and estimators perform well with respect to already exist...

School Quality, Educational Attainment and Aggregation Bias Data from 31 countries participating in the Programme for International Student Assessment (PISA) is used to estimate education production functions for reading literacy. The analysis suggests that the probability of finding statistically significant and correctly signed class size effects increases the higher the level of aggregation ...