Kyriakos Neanidis
My research activities cover issues of fiscal policy, financial development, and economic development and growth. In particular, I am interested in modeling and estimating relationships that deal with:
- the composition of government outlays and growth
- the modes of financing government spending and growth
- the determination of optimal taxation policies both from growth and welfare perspectives
- the effects of corruption on growth both through direct and indirect channels
- the effectiveness of foreign financial aid as measured by its impact on the recipient’s economic growth
- the relationship between innovation and growth
- issues related to financial dollarization
The theoretical analysis of these topics is developed by the use of endogenous growth models both within the overlapping generations (OLG) and the representative agent (RA) frameworks. In addition, in monetary growth models money is introduced via a cash-in-advance (CIA) constraint, money-in-the-utility (MIU) framework, or with an explicit development of a sector of financial intermediaries.
To the extent that the developed models are characterized by non-linear steady-state solutions (or when examining the effects of shocks during the transitionary path from one steady-state to another) numerical simulations are an additional method of used analysis.
The empirical applications are mainly panel data in nature. They include the most advanced estimation instrumental variable techniques of static and dynamic time series cross-sectional analysis (2SLS, GMM, GMM-Difference, GMM-System).
Areas of proposed research can be in any of the above theoretical and/or empirical topics as long as they entail innovative features.
As a guide to my research in these areas and the techniques I use, potential students might like to consult the following papers and the references therein:
- Luis Angeles and Kyriakos C. Neanidis, 2009, "Aid Effectiveness: The Role of the Local Elite", Journal of Development Economics, 90, 120-134.
- Kyriakos C. Neanidis and Christos Savva, 2009, "Financial Dollarization: Short-Run Determinants in Transition Economies", Journal of Banking and Finance, 33, 1860-1873.
- Kyriakos C. Neanidis and Dimitrios Varvarigos, 2009, "The Allocation of Volatile Aid and Economic Growth: Theory and Evidence", European Journal of Political Economy, forthcoming.
- Niloy Bose, Jill Holman, and Kyriakos C. Neanidis, 2007, "The Optimal Public Expenditure Financing Policy: Does the Level of Economic Development Matter?", Economic Inquiry, 45(3), 433-452.
- Jill Holman and Kyriakos C. Neanidis, 2006, "Financing Government Expenditures in an Open Economy", Journal of Economic Dynamics and Control, 30(8), 1315-1337.
- M. Emranul Haque and Kyriakos C. Neanidis, 2009, 'Fiscal Transparency and Corruption', Centre for Growth and Business Cycle Research Discussion Paper Series, University of Manchester, No. 114.
- Keith Blackburn, Kyriakos C. Neanidis, and M. Emranul Haque, 2008, "Corruption, Seigniorage and Growth: Theory and Evidence", CESifo Working Paper Series, CESifo Working Paper No. 2354.
- Pierre-Richard Agénor and Kyriakos C. Neanidis, 2007, "Optimal Taxation and Growth with Public Goods and Costly Enforcement", Centre for Growth and Business Cycle Research Discussion Paper Series, University of Manchester, No. 89.
- Pierre-Richard Agénor and Kyriakos C. Neanidis, 2006, "The Allocation of Public Expenditure and Economic Growth", Centre for Growth and Business Cycle Research Discussion Paper Series, University of Manchester, No. 69.
- Kyriakos C. Neanidis, 2005, "Aid, Budgetary Policies, and the Macroeconomy: Growth, Inflation, and Welfare", Centre for Growth and Business Cycle Research Discussion Paper Series, University of Manchester, No. 58.
Recent PhD dissertations supervised include:
- Christos S. Savva (Senior Researcher, Economics Research Centre, Department of Economics, University of Cyprus) – Modelling Volatility in Stock Markets and the Macroeconomy (co-supervised with Denise Osborn and Len Gill). Awarded, 2006.
Joined output of PhD supervision:
- Kyriakos C. Neanidis and Christos Savva, 2009, "Financial Dollarization: Short-Run Determinants in Transition Economies", Journal of Banking and Finance, 33, 1860-1873.
- Christos S. Savva, Kyriakos C. Neanidis, and Denise R. Osborn, 2009, "Business Cycle Synchronization of the Euro Area with the New and Negotiating Member Countries", International Journal of Finance and Economics, forthcoming.
Students that would potentially like to undertake research in these areas are expected to have reasonable analytical (mathematical) and econometric background. They would also be expected to invest substantial time in the development of their skills by self-studying and by taking advanced modules. Such modules include Macroeconomic Theory, Monetary Economics, Topics in Development Economics: Growth, Labour Markets and Poverty Traps, Economic Growth, Mathematical Methods in Economic Analysis, Cross Section Econometrics, Advanced Econometric Theory, Topics in Economic Theory, Further Econometrics.