Macro-economic effects of inflation-induced taxes on capital

Series statement handwritten on coverIncludes bibliographical reference

The Effects of Parameter Misspecification and Non-Stationarity on the Applicability of Adaptive Forecasts

A "blowup factor" is defined for the measurement of the effect on forecast error variance of two types of misspecification which may be implicit in the choice of a particular adaptive forecasting scheme: (1) misspecification of the number of non-zero parameters of the stationary linear stochastic process generating the observed time series, and (2) misspecification arising from postulating stationarity when in fact the generating process is non-stationary in mean.

Comment on Shiller: Urban Density Drives Housing Price Increases

Robert Shiller's analysis misses the fact that house prices depend on urban density, not just price of agricultural land, according to John Bossons of the University of Toronto.