A neoclassical factor demand model for structures, equipment and labour is analyzed. It incorporates a variety of dynamic specifications, such as a multi-period time-to-build for structures, internal adjustment costs for each production factor, and external investment adjustment costs....

Europe is a continent of cities with a remarkable history of cultural inspiration, wealth creation, social and politicaldynamism. But in the late-20th century, many former industrial cities entered a period of steep decline, losingmost of their manufacturing jobs and many of their economic...

This paper analyzes the joint effect of EPL and financial market imperfections on investment,capital-labour substitution, labour productivity and job reallocation in a cross-countryframework. In the spirit of Rajan and Zingales (1998) and Ciccone and Papaioannou (2006),we exploit variation in...

Chapter 1 studies how consumers’ switching costs affect the pricing and profits of firms competing in two-sided markets such as Apple and Google in the smartphone market. When two-sided markets are dynamic – rather than merely static – I show that switching costs lower the first-period...