This paper shows that the distortion of privately provided training caused by hold up an justify the introduction of positive firing tax in economies populated by risk neutral or perfectly insured agents. More precisely we highlight two results. First, an efficient economic policy, which makes...

In this paper we show that wage inequality decreased in the Italian private sector, both in the upper and in the lower tail of the distribution, in the period 1993-2006. By applying a quantile decomposition procedure we find that the decrease of the 90/50 ratio is almost totally related to a...