Are cryptocurrencies homogeneous?

This article investigates if cryptocurrencies returns' are similarly affected by a selection of demand- and supply-side determinants. Homogeneity among cryptocurrencies is tested via a least absolute shrinkage and selection operator (LASSO) model where determinants of Bitcoin returns are applied to a sample of 12 cryptocurrencies. The analysis goes beyond existing research by simultaneously covering different periods and design choices of cryptocurrencies. The results show that cryptocurrencies are heterogeneous, apart from some similarities in the impact of technical determinants and cybercrime. The cryptocurrency market displays evidence of substitution effects, and design choices related explain the impact of the determinants of return.     

Quality heterogeneity and global economic growth

This paper develops a fully endogenous, variety-expansion growth model with firm-specific quality heterogeneity, limit pricing, and an endogenous distribution of markups. Firms with high-quality products engage in exporting, firms with intermediate-quality products serve the domestic market, and inefficient firms with low-quality products exit the market. Trade liberalization, measured by a reduction in trade costs or a decline in foreign market entry costs, generates a reallocation of resources from low-quality to high-quality products and exit of inefficient firms. However, it has ambiguous effects on the average global quality level, long-run growth, and welfare. An increase in the rate of population growth or in the intensity of trade-related knowledge spillovers accelerates economic growth. The laissez-faire equilibrium is inefficient, and this leaves room for welfare-improving government intervention.     

The impact of foreign direct investment on horizontal export diversification: empirical evidence

Using data on stocks of Foreign Direct Investment (FDI) from 131 countries spanning the years 1984 to 2004 and the number of products exported by each country, we examine the effect of FDI on horizontal export diversification. To quantify the effects, we utilize parametric (quantile) and semi-parametric econometric methods. Results from both approaches indicate that, in general, an increase in the stock of FDI enhances the horizontal diversification of exports. The actual magnitude of the effect however, varies greatly across countries depending on the existing stock of FDI and stage of diversification, giving rise to an almost inverted U-shaped relationship. A further look at our results provides useful insights on the circumstances under which FDI may aid or inhibit the horizontal expansion of exports.     

A secondary market metaphor for content delivery networks

A Secondary Market (SM) mechanism is used to allow the exchange of unused resources between Origin Servers (content-generating entities) that claim and reserve resources from Content Delivery Networks (CDNs). Using a Predictive Reservation Scheme, network and disk resources are being monitored through well-established techniques (Kernel Regression Estimators) in a given time frame. We show that the SM mechanism significantly improves the efficiency and robustness of our Predictive Reservation Scheme by allowing fast exchange of unused resources between the Origin Servers (CDN Clients), either by implementing socially optimal practices or by allowing automatic electronic auctions at the end of day (EOD) or at shorter time intervals. Therefore, all the involved players (including the CDN itself) benefit from the rationalized use of CDN resources.     

Explaining the Uneven Economic Performance of the EU Cohesion Countries: An Export-Led Growth Approach

This article explains the differences in growth rates between the cohesion countries of the EU: Ireland, Spain, Portugal and Greece. Employing a decomposition growth approach, it is found that the main driver of growth differences lies in productivity. The remarkably higher Irish growth rates in the 1990s are sourced to greater productivity growth resulting from higher investment in human capital and technology. The export-led growth approach reasonably predicts the growth rates and the prediction is more precise when differences in productivity growth are controlled for. Higher economic growth is explained by the higher income elasticity of exports relative to imports.