Nonlinear exchange rate transmission in the euro area: A multivariate smooth transition regression approach

© 2018, Economics Bulletin. This paper examines the presence of nonlinear behavior in the exchange rate pass-through (ERPT) for a set of euro area countries. We propose to solve the endogeneity problem inherent in single-equation-based methods by implementing the family of nonlinear vector smooth transition regression (VSTR) models. Using quarterly data that span from 1980:1 to 2015:4, linearity tests reveal that the ERPT responds nonlinearly to economic growth. According to the pass-through elasticities, exchange rate transmission differs significantly between the identified economic activity regimes. However, our results underscore the presence of heterogeneous profiles across the euro area economies. For some countries, the ERPT is higher during expansions than during recessions; however, the result is reversed for others. Our findings emphasize the role of a declining ERPT, as it may foster business cycle synchronization and inflation convergence within the monetary union

Nonlinear exchange rate pass-through: Does business cycle matter?

© 2018-Center for Economic Integration, Sejong Institution, Sejong University, All Rights Reserved. This paper investigates the nonlinear dynamics in the Exchange Rate Pass-Through of the Euro area. We implement the class of logistic smooth transition models to explore the role of the business cycle in driving nonlinearity. Using quarterly data over the period of January 1980 ~ April 2015, our results provide strong evidence of nonlinearity in 7 out of 10 Eurozone countries. We show that the exchange rate transmission to inflation respond to the economic activity in the nonlinear manner, that is, exchange rate pass-through is higher during expansion than recession periods. By monitoring the different patterns of growth and exchange rate pass-through, European monetary authorities could enhance inflation convergence within the Euro area

Bacteria-Affecting Cephalopods

16 pages, 6 figures, 2 tables.-- This chapter is licensed under the terms of the Creative Commons Attribution 4.0 International LicenseBacterial pathogens contribute to obtain an unsuccessful production of cephalopods. An updated overview of the knowledge of these pathogens must be a valuable tool to improve their aquarium maintenance and aquaculture. The present work provides a description of the main bacterial pathogens associated with larval stages of cultured Octopus vulgaris, and juvenile and adults of several cephalopods. Vibrio species, reported with ability to cause vibriosis in aquaculture, are the main bacteria associated with skin lesions in adults. Different species of Pseudomonas and Aeromonas, among others, have also been detected. Furthermore, gram-positive bacteria such as Bacillus have been also described. Among them, V. alginolyticus, V. carchariae, V. parahaemolyticus, V. splendidus and V. lentus have also been isolated from sterile organs or fluids of animals and their potential as invaders proved. However, only V. alginolyticus or V. lentus has the ability to cause lesions, and, in addition, the last one is proved as the causative agent of death in octopuses. Other organs such as eyes of squids are also colonized by Vibrio species or Micrococcus sp., and recently Photobacterium swingsii and Lactococcus garvieae have been reported associated with a retrobulbar lesion in octopus. Rickettsial-like organisms (RLO) are also detected in the gills of the octopus, having a detrimental effect on the respiratory gaseous exchange of the animals. Cultures of octopus paralarvae show a genetically diverse community comparable to those reported previously from other marine hatcheries. Bacteria included in the Splendidus clade is the dominant group in all conditions, except in one of them, where V. alginolyticus, V. proteolyticus or Pseudomonas fluorescens are the main detected groups. Furthermore, Shewanella or Pseudoalteromonas undina have also been identified. All this shows that pathogenic bacteria are frequent microorganisms associated with aquarium maintenance and culture of cephalopods, and special attention on maintaining a well-balanced community of microorganisms should be appliedPeer reviewe