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We analyse how institutional and political decisions are intertwined. Citizens who differ in their mobility and ability vote first on labour market integration and afterwards on education policy. The institutional decision on integration influences the succeeding education policy. More...
Persistent link: https://www.econbiz.de/10005051539
, nevertheless, is restricted by migration of the young generations. This connection between political voting on intergenerational … case in which the young generations‘ migration decision takes its effect on future pensions into account (strategic … migration) and the case in which it only reflects differentials in labor income (myopic migration). The paper also pays …
Persistent link: https://www.econbiz.de/10005181513
In this note, we show that labour market integration can be a double-edged sword. In the presence of local human capital externalities, integration and the ensuing agglomeration of skilled labour can cause a decline in human capital and the total wage sum (net of education costs). In particular,...
Persistent link: https://www.econbiz.de/10008671737