Template-Type: ReDIF-Article 1.0
Author-Name: Zdeněk Dvorný
Title: Budget Deficit and Interest Rates
Abstract: The article examines the impact of the budget deficit upon the term structure of Czech interest rates. An important feature of the model is that it enables us to directly test the predictions of the three alternative paradigms, the Keynesian, neoclassical and the Ricardian, concerning the long-term and short-term impact of deficit on interest rates. The result of the study, obtained by the IV method suggests that the budget deficit is negatively related to the interest rate level in the short-run. Therefore, the long-run Ricardian proposition cannot be rejected in favour of any alternative hypothesis.
Keywords: interest rates, budget deficit, IV estimation, GDP decomposition
Classification-JEL: E43, G28, H61, H62, H63
Pages: 3-13
Volume: 2006
Issue: 1
Year: 2006
File-URL: http://www.vse.cz/pep/272
File-Format: text/html
Handle: RePEc:prg:jnlpep:v:2006:y:2006:i:1:id:272:p:3-13

Template-Type: ReDIF-Article 1.0
Author-Name: Wadim Strielkowski
Author-Name: Cathal O’Donoghue
Title: Ready to Go? EU Enlargement and Migration Potential: Lessons for the Czech Republic in the Context of Irish Migration Experience
Abstract: EU enlargement is hardly to be seen as the major push factor for migration. There are mainly economic factors that influence the migration decisions. Besides it seems that there is a migration potential, unique for every country, that pre-determines the migration or labour mobility. In our paper we (i) analyze the impact of internal economic factors, such as GDP growth, unemployment and wages on the emigration rate and (ii) compare the migration potential for the country distinguished by the high ratio of outward migrations (represented by Ireland) with those of the post-communist economy as well as the "new" EU member (represented by the Czech Republic). We come to conclusions that economic factors have the decisive role on pre-determining the migrations and that migration potential and the propensity to migrate as a reaction to worsening of the economic conditions at home are highly correlated. These can explain why there was no mass emigration from the EU "new" Member States to the "old" Member States after the recent enlargement, as far as it comes to migration potential needed for inducing such labour moves. The potential emigrants from new EU Member States are simply not ready to go to wealthier Member States in search of better wage and employment opportunities.
Keywords: Czech Republic, EU enlargement, migration, labour mobility, Ireland
Classification-JEL: F02, F22, J61
Pages: 14-28
Volume: 2006
Issue: 1
Year: 2006
File-URL: http://www.vse.cz/pep/download.php?jnl=pep&pdf=273.pdf
File-URL: http://www.vse.cz/pep/273
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Handle: RePEc:prg:jnlpep:v:2006:y:2006:i:1:id:273:p:14-28
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Template-Type: ReDIF-Article 1.0
Author-Name: Petr Mariel
Author-Name: Cristina López
Author-Name: Karmele Fernández
Title: Sales-Advertising Relationship: An Application of Panel Data from the German Automobile Industry
Abstract: This paper uses panel data from the German car industry for the estimation of parameters of a demand equation applying different statistical methodologies and paying special attention to advertising variables. Two important conclusions can be drawn. First, advertising plays an important role in this market but its effectiveness depends on its form and type of message; and second, the marketing policy of a firm has to take into account the size of its cars.
Keywords: principal components, classification, advertising
Classification-JEL: C23, M37
Pages: 29-43
Volume: 2006
Issue: 1
Year: 2006
File-URL: http://www.vse.cz/pep/download.php?jnl=pep&pdf=274.pdf
File-URL: http://www.vse.cz/pep/274
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Handle: RePEc:prg:jnlpep:v:2006:y:2006:i:1:id:274:p:29-43
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Template-Type: ReDIF-Article 1.0
Author-Name: Huseyin Kalyoncu
Title: International Intertemporal Solvency in OECD Countries: Evidence from Panel Unit Root
Abstract: The purpose of this study is to investigate the sustainability of current account of 22 OECD countries by employing Liu and Tanner (1996) testing procedure. The procedure used here is to examine stationarity of current account. By using ADF unit root test on single time series, it has been found that current account of most OECD countries have unit root. This outcome, however, might be due to the generally low power of this test. The aim of this paper is to reconsider this issue by exploiting the extra information provided by the combination of the time-series and cross-sectional data and the subsequent power advantages of panel data unit root tests. We apply the test advocated by Im, Pesaran and Shin (1997). According to estimation, current account deficits in OECD countries are sustainable.
Keywords: current account, panel data unit-root test, solvency
Classification-JEL: C23, F30, F32
Pages: 44-49
Volume: 2006
Issue: 1
Year: 2006
File-URL: http://www.vse.cz/pep/download.php?jnl=pep&pdf=275.pdf
File-URL: http://www.vse.cz/pep/275
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Handle: RePEc:prg:jnlpep:v:2006:y:2006:i:1:id:275:p:44-49
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Template-Type: ReDIF-Article 1.0
Author-Name: Eva Cihelková
Author-Name: Pavel Hnát
Title: Subregionalism Within the EU with Special Regard to the Groupings of which the Czech Republic is a Member
Abstract: As a consequence of the third wave of regionalism, the so called new regionalism, a marked increase in the number of regional groupings can be observed worldwide which makes the preferential relations between states even more complicated and complex. Within these relations those in which a regional grouping is one partner are the most complex. One of such complex relationships, which did not come to being during the third wave of regionalism but was strongly supported by it, is subregionalism - simply said, overlapping of regional integrations. This development can be especially observed in the regions, where a region-wide integration scheme is being formed - such as the European Union in Europe. The aim of this study is to analyze a current state and development of subregionalism within the European Union (EU) and to analyze the effects of this phenomenon in the region. The Czech Republic, as the new member of the EU, is a member of several subregional groupings in Europe. Special regard will be taken to those groupings, where the Czech Republic is an active member. Especially the future development of these groupings will be the main expected outcome of this study. An institutional and political view (analysis of agreements and documents of regional groupings) is the primal approach of this study to the problem of subregionalism and its aim is to identify integration's state, future and relation to the dominant integration. As regionalism is the main theoretical approach of this study, it will examine only the institutionalised integration within the area and will thus omit the regional processes within the EU (the so called euroregions) or the cross-boarder cooperation between particular pairs of member states.
Keywords: European Union, Czech Republic, regionalism, subregionalism, new regionalism
Classification-JEL: F01, F02, F13, F15
Pages: 50-62
Volume: 2006
Issue: 1
Year: 2006
File-URL: http://www.vse.cz/pep/download.php?jnl=pep&pdf=276.pdf
File-URL: http://www.vse.cz/pep/276
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Handle: RePEc:prg:jnlpep:v:2006:y:2006:i:1:id:276:p:50-62
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Template-Type: ReDIF-Article 1.0
Author-Name: Anna Kadeřábková
Title: Challenges for the Czech Republic's Competitive Performance in the Enlarged EU
Abstract: The new EU-entrants face double challenge on the Lisbon road to knowledge-based competitiveness. On the one hand, higher expenditure is required to improve the quality of research and education input and infrastructure, on the other hand, the innovation system changes are necessary to increase efficiency of expenditures. The example of the Czech Republic within EU-25, as to the export performance, productivity and R&D intensity of the so-called hi-tech activities, presents a more detailed analysis of competitive advantage sources and challenges in the less developed EU members. The analysis emphasizes the criterion of (in)completeness of the multinational value chain, which continues to consist mainly of segments with lower quality intensity (assembly operations) in these countries. This aspect plays a crucial role in international comparison of competitiveness within EU-25, and in assessment of success and political support of transition to knowledge-based economy.
Keywords: competitiveness, transition countries, technology catch-up
Classification-JEL: O33, O57
Pages: 63-77
Volume: 2006
Issue: 1
Year: 2006
File-URL: http://www.vse.cz/pep/download.php?jnl=pep&pdf=277.pdf
File-URL: http://www.vse.cz/pep/277
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Handle: RePEc:prg:jnlpep:v:2006:y:2006:i:1:id:277:p:63-77
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Template-Type: ReDIF-Article 1.0
Author-Name: Adam Geršl
Title: Development of Formal and Informal Institutions in the Czech Republic and Other New EU Member States Before Their EU Entry: Did the EU Pressure Have Impact?
Abstract: The paper compares the quality of the institutional framework of the Czech Republic with other new EU Member States and the EU 15 average using the World Bank data on Governance Indicators and argues that the pressure from the EU institutions during the accession negotiation period to reform the legal framework was not sufficient to improve significantly the business environment. Among factors that prevented the improvement of institutions the influence of strong interest groups, ineffective enforcement of legal rules and corruption are discussed and empirically illustrated using data on 'state capture'.
Keywords: business environment, EU enlargement, corruption, institutions
Classification-JEL: K200, K400, P300
Pages: 78-90
Volume: 2006
Issue: 1
Year: 2006
File-URL: http://www.vse.cz/pep/download.php?jnl=pep&pdf=278.pdf
File-URL: http://www.vse.cz/pep/278
File-Format: text/html
Handle: RePEc:prg:jnlpep:v:2006:y:2006:i:1:id:278:p:78-90
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