Ekonomia The journal of the
Cyprus Economic Society
(formerly The Cyprus Journal of Economics)

Volume 6, No 1, June 1993


Exchange Rate Dynamics for a Net Creditor and a Net Debtor Country: Some Simulation Results
ELIAS KARAKITSOS

The military-industrial Complex: An Analytical Assessment
BEN FINE

Implementation of Agency Contracts
ASHA B. SADANAND

Implementation is the study of how to achieve a particular allocation (or an allocation that satisfies certain objectives) between several agents, when the allocation also depends on private information held by the agents. In this paper we survey the current work in this area with the main emphasis on the principal-agents setting. The literature largely consists of examples and a few are given here to illustrate the main techniques for implementation. We conclude with a discussion of the possible extensions and limitations of the techniques and directions for further research.

Modelling the Demand for Greek Defence Expenditure: An Error Correction Approach
PANAYIOTIS KAPOPOULOS and SOPHIA LAZARETOU

This paper attempts to analyze the strategic determinants of Greek military expenditure by using an error correction model. We model two kinds of war threats faced by Greece: first, the Turkish military expenditure and, second, the Warsaw Pact Capability. Greece could exhibit either a "free-rider" or a "follower" behavior within the NATO Alliance. Empirical findings reveal that Turkish military spending is an important factor of the Greek defense policy making. Also, in the short-run we find the presence of a "follower" mode of response of Greek military authorities to the US spending.

Last modified: Thu May 11 11:46:03 EEST 2000