Central European Journal of Economic Modelling and Econometrics

We estimate the size of income underreporting in Poland by following and extending the consumption method of Pissarides and Weber (1989). Our study shows that underreporting of income occurs among households with income from self-employment. We do not find any significant underreporting activity by the employees working in the private sector. The main findings indicate that roughly one-fourth of the total income of self-employed households is not reported in Poland. This share varies between 20 to 30 percent from 2005 to 2017 with a decreasing trend.

Accurate determination of the probability structure of the multistate model is significant from the valuation and profitability assessment of insurance contracts standpoint. This article aims to analyse the effect of spouses' future lifetime dependence on premiums and prospective reserves for marriage insurance contracts. As a result, under the assumptions that the evolution of the insured risk is described by a nonhomogeneous Markov chain and the dependence between spouses' future lifetime is modelled by the copula, we derive formulas for the elements of the transition matrices. Based on actual data, we conduct a comparative analysis of actuarial values for three scenarios related to future lifetimes of husband and wife. We test the robustness of premium value to the changing degree of dependency between spouses' future lifetimes.

This article analyzes the growth impact of state ownership in enterprises by introducing state-owned enterprises (SOEs) into the endogenous, Romer-type economic growth model. We build on the empirical firm-level analysis showing that SOEs underperform their privately owned counterparts and consider SOEs' inefficiency and related subsidization in the growth model. Our model predicts that the growth rate is decreasing in the SOE inefficiency and SOE shares in final goods production and R&D sectors. The model helps to shed light on the mechanisms behind empirical facts observed in European economies in the 21st century - lower growth and innovation rates in countries with larger SOE shares.