Econometric Analysis of Fiscal Policy Budget Constraints in Endogenous Growth Models

Kneller et al. (1999) examined the predictions of the public-policy endogenous growth models of Barro (1990) and others that suggest that unlike distortionary taxation and productive expenditures, nondistortionary taxation and nonproductive expenditures have no direct effect on the rate of growth. This paper provides an econometric theory with their empirical methodology and applies to work by Kneller et al. (1999) as a numerical example to show how the econometric theory works in practice. This paper also confirms from the viewpoint of econometric analysis that their study supports the Barro (1990)'s predictions.Fiscal budget constraint; multicollinearity; omitted variables, econometrics

Independence complexes and incidence graphs

We show that the independence complex of the incidence graph of a hypergraph is homotopy equivalent to the combinatorial Alexander dual of the independence complex of the hypergraph, generalizing a result of Csorba. As an application, we refine and generalize a result of Kawamura on a relation between the homotopy types of the independence complex and the edge covering complex of a graph