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Table 7 Robustness: Wedge properties for \(\nu =0.5\) (1980Q1–2016Q3)

From: A neoclassical perspective on Switzerland’s 1990s stagnation

\({\varvec{W}}_{\varvec{t}}\) \(\frac{{\varvec{\sigma}} ({\varvec{W}}_{\varvec{t}})}{{\varvec{\sigma}} ({\varvec{Y}}_{\varvec{t}})}\) \({\varvec{Corr}}({\varvec{W}}_{{\varvec{t+k}}}, {\varvec{Y}}_{\varvec{t}})\) \({\varvec{Corr}}({\varvec{W}}_{{\varvec{t+k}}}, {\varvec{X}}_{\varvec{t}})\) \({\varvec{Corr}}({\varvec{W}}_{{\varvec{t+k}}}, {\varvec{H}}_{\varvec{t}})\)
   k = −1 k = 0 k = 1 k = −1 k = 0 k = 1 k = −1 k = 0 k = −1
Efficiency wedge 0.71 0.87 0.93 0.73 0.66 0.67 0.56 0.67 0.54 0.38
Government wedge 3.53 0.30 0.44 0.44 − 0.04 − 0.09 0.03 0.21 0.23 0.21
Labour wedge 0.59 0.14 0.20 0.32 0.10 0.16 0.32 0.40 0.55 0.57
Investment wedge 0.58 0.57 0.66 0.72 0.70 0.87 0.87 0.85 0.92 0.87
  1. Data are HP-filtered with \(\lambda = 1600\)