Yuriy Gorodnichenko

GLOBALIZATION AND INNOVATION IN EMERGING MARKETS (2008)

Gorodnichenko, Yuriy, Svejnar, Jan, Terrell, Katherinr

Globalization bring opportunities and pressures for domestic firms in emerging market economies to innovate and improve their competitive position. Using recent data on firms in 27 transition...

Public Sector Pay and Corruption: Measuring Bribery from Micro-Data (2007)

Gorodnichenko, Yuriy, Sabrianova, Klara

This study provides the first systematic measure of bribery using micro-level data on reported earnings, household spending and asset holdings. We use the compensating differential framework and the...

When Does FDI Have Positive Spillovers? Evidence from 17 Emerging Market Economies (2007)

Gorodnichenko, Yuriy, Svejnar, Jan, Terrell, Katherine

We use firm-level data and national input-output tables from 17 countries over the 2002-2005 period to test new and existing hypotheses about the impact of foreign direct investment (FDI) on the...

When Does FDI Have Positive Spillovers? Evidence from 17 Emerging Market Economies (2007)

Gorodnichenko, Yuriy, Svejnar, Jan, Terrell, Katherine

We use firm-level data and national input-output tables from 17 countries over the 2002-2005period to test new and existing hypotheses about the impact of foreign direct investment (FDI)on the...

Returns to Schooling in Russia and Ukraine: A Semiparametric Approach to Cross-Country Comparative Analysis (2004)

Gorodnichenko, Yuriy, Peter, Klara Sabirianova

n Russia and Ukraine (1985-2002). There has been an increase in returns to schooling in both countries but the increase is much bigger in Russia than in Ukraine. The intriguing question is why...

Public Sector Pay and Corruption: Measuring Bribery from Micro Data

Yuriy Gorodnichenko, Klara Sabirianova Peter

This study is the first to provide a systematic measure of bribery using micro-level data on reported earnings, household spending and asset holdings. We use the compensating differential framework...

Public Sector Pay and Corruption: Measuring Bribery from Micro Data

Gorodnichenko, Yuriy, Sabirianova, Klara

This study is the first to provide a systematic measure of bribery using micro-level data on reported earnings, household spending and asset holdings. We use the compensating differential framework...

Financial Constraints and Continental Business Groups : Evidence from German Konzerns

Dorothea Schäfer, Yuriy Gorodnichenko, Oleksandr Talavera

Using a unique, large panel of German firms, we examine whether participation in business groups reduces the sensitivity of investment to cash flow. The main finding is that the reduction in the...

A Re-Examination of the Border Effect

Yuriy Gorodnichenko, Linda Tesar

This paper reexamines the evidence on the border effect, the finding that the border drives a wedge between domestic and foreign prices. We argue that the border effect can be inflated by the...

Monetary Policy When Potential Output is Uncertain: Understanding the Growth Gamble of the 1990s

Yuriy Gorodnichenko, Matthew D. Shapiro

The Fed kept interest rates low and essentially unchanged during the late 1990s despite a booming economy and record-low unemployment. These interest rates were accommodative by historical standards....

Are Airlines' Price-Setting Strategies Different?

Volodymyr Bilotkach, Yuriy Gorodnichenko, Oleksandr Talavera, Igor Zubenko

Using a sample of fare quotes for non-stop travel from New York to London, this paper investigates the dynamics of offered fares as the departure date nears. We find that the general trend is toward...

A Re-Examination of the Border Effect

Yuriy Gorodnichenko, Linda Tesar

This paper reexamines the evidence on the border effect, the finding that the border drives a wedge between domestic and foreign prices. We argue that the border effect can be inflated by the...

Returns to Schooling in Russia and Ukraine: A Semiparametric Approach to Cross-Country Comparative Analysis

Gorodnichenko, Yuriy, Peter, Klara Sabirianova

This study provides the first set of estimates of the returns to schooling over an extended period in Russia and Ukraine (1985-2002). There has been an increase in returns to schooling in both...

Returns to Schooling in Russia and Ukraine: A Semiparametric Approach to Cross-Country Comparative Analysis

Yuriy Gorodnichenko, Klara Sabirianova Peter

n Russia and Ukraine (1985-2002). There has been an increase in returns to schooling in both countries but the increase is much bigger in Russia than in Ukraine. The intriguing question is why...

When Does FDI Have Positive Spillovers? Evidence from 17 Emerging Market Economies

Yuriy Gorodnichenko, Jan Svejnar, Katherine Terrell

We use firm-level data and national input-output tables from 17 countries over the 2002-2005 period to test new and existing hypotheses about the impact of foreign direct investment (FDI) on the...

When Does FDI Have Positive Spillovers? Evidence from 17 Emerging Market Economies

Gorodnichenko, Yuriy, Svejnar, Jan, Terrell, Katherine

We use firm-level data and national input-output tables from 17 countries over the 2002-2005 period to test new and existing hypotheses about the impact of foreign direct investment (FDI) on the...

Myth and Reality of Flat Tax Reform: Micro Estimates of Tax Evasion Response and Welfare Effects in Russia

Yuriy Gorodnichenko, Jorge Martinez-Vazquez, Klara Sabirianova Peter

Using micro-level data, we examine the effects of Russia’s 2001 flat rate income tax reform on consumption, income, and tax evasion. We use the gap between household expenditures and reported...

Myth and Reality of Flat Tax Reform: Micro Estimates of Tax Evasion Response and Welfare Effects in Russia

Yuriy Gorodnichenko, Jorge Martinez-Vazquez, Klara Sabirianova Peter

Using micro-level data, we examine the effects of Russia’s 2001 flat rate income tax reform on consumption, income, and tax evasion. We use the gap between household expenditures and reported...

Using Firm Optimization to Evaluate and Estimate Returns to Scale

Gorodnichenko, Yuriy

At the firm level, revenue and costs are well measured but prices and quantities are not. This paper shows that because of these data limitations estimates of returns to scale at the firm level are...

Are Oligarchs Productive? Theory and Evidence

Gorodnichenko, Yuriy, Grygorenko, Yegor

This paper develops a partial equilibrium model to account for stylized facts about the behavior of oligarchs, politically and economically strong conglomerates in transition and developing...

Globalization and Innovation in Emerging Markets

Gorodnichenko, Yuriy, Svejnar, Jan, Terrell, Katherine

Globalization brings opportunities and pressures for domestic firms in emerging market economies to innovate and improve their competitive position. Using recent data on firms in 27 transition...

Are Oligarchs Productive? Theory and Evidence

Yuriy Gorodnichenko, Yegor Grygorenko

This paper develops a partial equilibrium model to account for stylized facts about the behavior of oligarchs, politically and economically strong conglomerates in transition and developing...

Reduced-Rank Identification of Structural Shocks in VARs

Yuriy Gorodnichenko

This paper integrates imposing a factor structure on residuals in vector autoregressions (VARs) into structural VAR analysis. Identification, estimation and testing procedures are discussed. The...

Are oligarchs productive? Theory and evidence

Gorodnichenko, Yuriy, Grygorenko, Yegor

This paper develops a partial equilibrium model to account for stylized facts about the behavior of oligarchs, politically and economically strong conglomerates, in transition and developing...

Endogenous information, menu costs and inflation persistence

Yuriy Gorodnichenko

This paper develops a model where firms make state-dependent decisions on both pricing and acquisition of information. It is shown that when information is not perfect, menu costs combined with the...

Strategic Interaction Among Heterogeneous Price-Setters In An Estimated DSGE Model

Olivier Coibion, Yuriy Gorodnichenko

We consider a DSGE model in which firms follow one of four price-setting regimes: sticky prices, sticky-information, rule-of-thumb, or full-information flexible prices. The parameters of the model,...

Using Firm Optimization to Evaluate and Estimate Returns to Scale

Yuriy Gorodnichenko

At the firm level, revenue and costs are well measured but prices and quantities are not. This paper shows that because of these data limitations estimates of returns to scale at the firm level are...

Myth and Reality of Flat Tax Reform: Micro Estimates of Tax Evasion Response and Welfare Effects in Russia

Yuriy Gorodnichenko, Jorge Martinez-Vazquez, Klara Sabirianova Peter

Using micro-level data, we examine the effects of Russia's 2001 flat rate income tax reform on consumption, income, and tax evasion. We use the gap between household expenditures and reported...

Globalization and innovation in emerging markets

Yuriy Gorodnichenko, Jan Svejnar, Katherine Terrell

Globalization brings opportunities and pressures for domestic firms in emerging markets to innovate and improve their competitive position. Using data on firms in 27 transition economies, we test for...

What Can Survey Forecasts Tell Us About Informational Rigidities?

Olivier Coibion, Yuriy Gorodnichenko

This paper uses three different surveys of economic forecasts to assess both the support for and the properties of informational rigidities faced by agents. Specifically, we track the impulse...

Monetary Policy, Trend Inflation and the Great Moderation: An Alternative Interpretation

Olivier Coibion, Yuriy Gorodnichenko

With positive trend inflation, the Taylor principle is not enough to guarantee a determinate equilibrium. We provide new theoretical results on restoring determinacy in New Keynesian models with...

Border Effect or Country Effect? Seattle May Not Be So Far from Vancouver After All

Yuriy Gorodnichenko, Linda L. Tesar

This paper reexamines the evidence on the border effect. We argue that if there is cross-country heterogeneity in the distribution of within-country price differentials, there is no clear benchmark...

Globalization and Innovation in Emerging Markets

Gorodnichenko, Yuriy, Svejnar, Jan, Terrell, Katherine

Globalization brings opportunities and pressures for domestic firms in emerging markets to innovate and improve their competitive position. Using data on firms in 27 transition economies, the authors...

Globalization and Innovation in Emerging Markets

Yuriy Gorodnichenko, Jan Svejnar, Katherine Terrell

Globalization brings opportunities and pressures for domestic firms in emerging markets to innovate and improve their competitive position. Using data on firms in 27 transition economies, we test for...

Myth and Reality of Flat Tax Reform: Micro Estimates of Tax Evasion Response and Welfare Effects in Russia

Yuriy Gorodnichenko, Jorge Martinez-Vazquez, Klara Sabirianova Peter

We examine the effects of Russia's 2001 flat rate income tax reform on consumption, income, and tax evasion. We use the gap between household expenditures and reported earnings as a proxy for tax...

The Finnish Great Depression: From Russia with Love

Gorodnichenko, Yuriy, Mendoza, Enrique G., Tesar, Linda L.

During the period 1991-93, Finland experienced the deepest economic downturn in an industrialized country since the 1930s. We argue that the culprit behind this Great Depression was the collapse of...

Inequality and Volatility Moderation in Russia: Evidence from Micro-Level Panel Data on Consumption and Income

Yuriy Gorodnichenko, Klara Sabirianova Peter, Dmitriy Stolyarov

We construct key household and individual economic variables using a panel micro data set from the Russia Longitudinal Monitoring Survey (RLMS) for 1994-2005. We analyze cross-sectional income and...

The Finnish Great Depression: From Russia with Love

Yuriy Gorodnichenko, Enrique G. Mendoza, Linda L. Tesar

During the period 1991-93, Finland experienced the deepest economic downturn in an industrialized country since the 1930s. We argue that the culprit behind this Great Depression was the collapse of...

Inequality and Volatility Moderation in Russia: Evidence from Micro-Level Panel Data on Consumption and Income

Gorodnichenko, Yuriy, Sabirianova Peter, Klara, Stolyarov, Dmitriy

We construct key household and individual economic variables using a panel micro data set from the Russia Longitudinal Monitoring Survey (RLMS) for 1994-2005. We analyze cross-sectional income and...

Estimation of DSGE Models When the Data are Persistent

Yuriy Gorodnichenko, Serena Ng

Dynamic Stochastic General Equilibrium (DSGE) models are often solved and estimated under specific assumptions as to whether the exogenous variables are difference or trend stationary. However, even...

Inequality and Volatility Moderation in Russia: Evidence from Micro-Level Panel Data on Consumption and Income

Yuriy Gorodnichenko, Klara Sabirianova Peter, Dmitriy Stolyarov

We construct key household and individual economic variables using a panel micro data set from the Russia Longitudinal Monitoring Survey (RLMS) for 1994-2005. We analyze cross-sectional income and...

Financial constraints and continental business groups: Evidence from German Konzerns

Gorodnichenko, Yuriy, Schaefer, Dorothea, Talavera, Oleksandr

Using a unique large panel of German firms, we examine whether participation in business groups (Konzerns) reduces the sensitivity of investment to cash flow. The main finding is that the investment...

Myth and Reality of Flat Tax Reform: Tax Evasion and Real Side Response of Russian Households

Yuriy Gorodnichenko, Jorge Martinez-Vazquez, Klara Sabirianova Peter

We use detailed micro-level data on consumption and income for a 1998-2004 panel of Russian households to study the effects of the flat income tax reform in 2001. We show that the gap between...

Inequality and Volatility Moderation in Russia: Evidence from Micro-Level Panel Data on Consumption and Income

Yuriy Gorodnichenko, Klara Sabirianova Peter, Dmitriy Stolyarov

We construct key household and individual economic variables using a panel micro data set from the Russia Longitudinal Monitoring Survey (RLMS) for 1994-2005. We analyze cross-sectional income and...