Scattering in the energy space for Boussinesq equations

In this note we show that all small solutions in the energy space of the generalized 1D Boussinesq equation must decay to zero as time tends to infinity, strongly on slightly proper subsets of the space-time light cone. Our result does not require any assumption on the power of the nonlinearity, working even for the supercritical range of scattering. No parity assumption on the initial data is needed

Permanent and Transitory Dynamics in House Prices and Consumption: Cross-Country Evidence

In this paper a small-scale macroeconomic system is estimated in the framework of a common trends model, in order to explore the dynamic interactions between real house prices, consumption expenditure and output in the US and major European economies. The results point to important differences across countries, with long-run house price effects on consumption only for France, Germany and the US. However, some interactions between house prices and consumption are detected in all countries at shorter horizons. Evidence of international comovements in the common trend component of house price dynamics is also found.house prices, consumption, common trends

The Great Recession: US dynamics and spillovers to the world economy

The paper aims at assessing the mechanics of the Great Recession, considering both its domestic propagation within the US, as well as its spillovers to advanced and emerging economies. A total of 50 countries has been investigated by means of a large-scale open economy macroeconometric model, providing an accurate assessment of the international macro/finance interface over the whole 1980-2009 period. It is found that a boom-bust credit cycle interpretation of the crisis is consistent with the empirical evidence. Moreover, concerning the real effects of the crisis within the US, stronger evidence of an asset prices channel, rather than a liquidity channel, has been detected. The results also support the effectiveness of the expansionary fiscal/monetary policy mix implemented by the Fed and the US government. Concerning the spillovers to the world economy, it is found that while the financial shock has spilled over to foreign countries through US housing and stock price dynamics, as well as excess liquidity creation, the trade channel likely is the key trasmission mechanism of the real shock.Great Recession, financial crisis, economic crisis, boombust, credit cycle, international business cycle, factor vector autoregressive models

The effects of US economic and financial crises on euro area convergence

As economic and financial integration between the US and the euro area is strong, assessing whether the recent US crisis may affect the process of real and nominal convergence within the euro area is important. The paper addresses this issue in the framework of a large-scale open economy macroeconometric model, featuring 14 euro area member countries, the USA, and 35 advanced and emerging economies. The results point to a likely contribution of US economic and financial crises to real divergence in the euro area, potentially affecting first, second and third moments of the output growth distribution; on the other hand, implications for nominal convergence are less clearcut.Euro area convergence, Great Recession, financial crisis, economic crisis, factor vector autoregressive models