Showing 1 - 10 of 17
repeated voting, where agents vote over distortionary income redistribution. The key feature of the theory is that the future … constituency of redistributive policies depends positively on the current level of redistribution, since this affects both private … will vote for zero redistribution. …
Persistent link: https://www.econbiz.de/10005772313
skilled voters and maintain a high degree of income redistribution. Interestingly, equilibrium immigration policy shifts from …
Persistent link: https://www.econbiz.de/10005772542
We study the effects of German unification in a model with capital accumulation, skill differences and a welfare state. We argue that this event is similar to a mass migration of low-skilled agents holding no capital into a foreign country. Absent a welfare state, we observe an investment boom,...
Persistent link: https://www.econbiz.de/10005771980
Why was England first? And why Europe? We present a probabilistic model that builds on big-push models by Murphy, Shleifer and Vishny (1989), combined with hierarchical preferences. The interaction of exogenous demographic factors (in particular the English low-pressure variant of the European...
Persistent link: https://www.econbiz.de/10005772100
In this paper we study the welfare impact of alternative tax schemes on labor and capital. We evaluate the e_ect of lowering capital income taxes on the distribution of wealth in a model with heterogeneous agents, restricting our attention to policies with constant tax rates. We calibrate and...
Persistent link: https://www.econbiz.de/10005772553
This paper provides a quantitative evaluation of the intra--cohort redistributive elements of the United States social security system in the context of a computable general equilibrium model. I determine how the well--being of individuals that differ across {\sl gender, race} and {\sl...
Persistent link: https://www.econbiz.de/10005772591
Do political tensions affect economic relations? In particular, does politics significantly affect consumer choices? Firms are often threatened by consumer boycotts that pretend to modify their business strategies and behavior. Sometimes these are caused by general political conflicts. The main...
Persistent link: https://www.econbiz.de/10010891948
Social capital – a dense network of associations facilitating cooperation within a community – typically leads to positive political and economic outcomes, as demonstrated by a large literature following Putnam. A growing literature emphasizes the potentially "dark side" of social capital....
Persistent link: https://www.econbiz.de/10010933545
We discuss a unified theory of directed technological change and technology adoption that can shed light on the causes of persistent productivity differences across countries. In our model, new technologies are designed in advanced countries and diffuse endogenously to less developed countries....
Persistent link: https://www.econbiz.de/10005772064
Standard economic analysis holds that labor market rigidities are harmful for job creation and typically increase unemployment. But many orthodox reforms of the labor market have proved difficult to implement because of political opposition. For these reasons it is important to explain why we...
Persistent link: https://www.econbiz.de/10005772279