Karen Jackson

• DPhil
• Reader at University of Westminster

This paper examines the determinants of financial equity flows to investigate the role played by business cycles, government debt and sovereign rating scores, and whether the impact depends on the magnitude and direction of the flows. Using a new, richer dataset of flows among developed countries over 2001–2018, our key findings are as follows: (i)...

This paper examines the relative importance of global, regional, country and idiosyncratic factors as well as the determinants that underpin fluctuations in international trade flows across different regions of the world. Our analysis starts by using a Bayesian dynamic latent factor model (BDFM) to simultaneously estimate the four dynamic factors,...

This paper evaluates the trade and welfare implications of further East Asian trade integration, through the signing of the China-Japan-Korea FTA, and continued trade tensions between the US and China. Our analysis uses a structural gravity approach to explore the effects of these cooperative and non-cooperative trade policies. Our key findings are...

We examine 22 determinants of stock market correlations in a panel setting with 651 country pairs of developed economies over the 2001-2018 period, while accounting for model uncertainty and reverse causality. On the one hand, we find, that a number of determinants, well established in the literature, e.g. trade, institutional distance, and exchang...

We consider a new dataset that provides a description of the population of financial equity flows between developed countries from 2001 to 2018. We follow the standard practice of controlling for pull and push factors as well as gravity-style variables, while also accounting for the business cycle, public debt and sovereign ratings. Our key finding...

We consider a new dataset that provides a description of the population of financial equity flows between developed countries from 2001 to 2018. We follow the standard practice of controlling for pull and push factors as well as gravity-style variables, while also accounting for the business cycle, public debt and sovereign ratings. Our key finding...

This paper examines the relative importance of global, regional, country and idiosyncratic factors, as well as the determinants that underpin fluctuations in international trade flows across different regions of the world. Our analysis uses a two-step process, starting with a Bayesian dynamic latent factor model (BDFM) to simultaneously estimate th...

This paper examines the relative importance of global, regional, country and idiosyncratic factors, as well as the determinants that underpin fluctuations in international trade flows across different regions of the world. Our analysis uses a two-step process, starting with a Bayesian dynamic latent factor model (BDFM) to simultaneously estimate th...

This paper explores the impact of the Belt and Road Initiative (BRI), in terms of changes in trade costs on trade and consumer welfare in China, the EU, and the rest of the World. We employ a general equilibrium structural gravity approach and conduct a counterfactual analysis. Our key findings are as follows: (i) China and the EU are expected to m...

This paper demonstrates the welfare implications of the differential disintegration of the EU. Using a structural gravity approach, our estimates suggest that the rest of the EU countries have much more to lose from the disintegration of the EU compared to a disorderly Brexit. At the same time, neighbouring high‐income and middle‐income countries,...

As the EU and UK negotiate a new relationship, this paper explores the welfare implications of this policy change and its interaction with major trade policy initiatives. We evaluate five Brexit scenarios, based on different assumptions regarding Brexit, TTIP and various free trade deals the UK may attempt to broker with the US or Commonwealth coun...

This paper employs a structural gravity approach to model the Chinese-led Belt and Road Initiative (BRI), in terms of changes to trade costs and investment. We explore the impact of these changes on trade flows and consumer welfare in China, the EU and the rest of the World. Furthermore, we look at how these welfare changes compare to the gains fro...

This chapter examines the European core and periphery through a global trade lens. In doing so, we first provide some reflections on the historical context regarding the international trading environment. Inevitably, this focuses on the role of the United Kingdom (UK) and United States (US) in the post–World War II period. This is in sharp contrast...

This chapter explores how developments in macroeconomics following the breakdown of the post-war Keynesian era led to the introduction of fiscal and monetary policymaking based on neoclassical assumptions that ultimately have been largely detrimental. Hence, as a consequence of addressing the problems generated by the global financial crisis and su...

This chapter discusses several key issues for the United Kingdom (UK) in relation to Brexit. Firstly, it looks at how new directions could be initiated to fund infrastructure aimed at boosting the UK’s future growth potential and/or promote reindustrialisation by nurturing strategic industries through the early and unknowable stages of their develo...

Following the critical review of microeconomic aspects of economic integration in the form of customs unions, the creation of a single internal market, together with the macroeconomic issue of monetary union, this chapter explores lessons that could be applied in today’s environment from examining how seemingly successful fixed-rate regimes (e.g. t...

In order to understand the deeper causes of the ongoing eurozone crisis it is essential to identify a number of factors that collectively impacted the eurozone’s design and undermined the path towards its anticipated success. These factors reflect both economic and structural differences between core and periphery blocks of countries that could be...

Trade policy has been largely independent from other policies of the European Union (EU) since it remains its exclusive competence, as opposed to a shared competence between the EU and its member states. The EU has, however, recently observed an unprecedented degree of discord amongst the member states over trade policy in the energy and agricultur...

This chapter discusses the economic theories underpinning the applied areas examined in further chapters. In particular, it reviews economic thinking in terms of the key aspects of international trade, such as customs union theory and the development of a single internal market regarding the free movement of factors of production, that have driven...

This chapter aims to provide a thorough exposition of the twin-deficit hypothesis and present existing evidence from the eurozone south periphery. A case study focusing on a small group of highly indebted economies of the eurozone south periphery (i.e. Greece, Spain and Portugal) sheds light on the statistical association between government and cur...

The purpose of this chapter is to examine the current account–real exchange rate nexus for the three eurozone south periphery economies of Greece, Portugal and Spain and reach interesting conclusions on whether economic policies targeting the real exchange rate could be beneficial for improving current account balances in these economies. Evidence...

This book seeks to explore the current economic developments across Europe in relation to its apparent segmentation as disparities widen between core and periphery countries. However, in contrast to previous literature the scope of analysis is extended to Europe as a continent, rather than confining it to solely the European Union (EU). We believe...

This paper reflects on trade institutions across West Africa from the Empirehood to the present day. We found that regional trade institutions were more standardised across West Africa before the current countries gained their independence. We argue that reflection on past trade institutions could provide important guidance for policy makers curren...

This book explores economic developments across Europe in relation to its apparent segmentation, as disparities widen between core and periphery countries. In contrast to previous literature, the scope of analysis is extended to Europe as a continent rather than confining it solely to the European Union, thereby providing the reader with greater in...