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We present a standard model of financial innovation, in which intermediaries engineer securities with cash flows that investors seek, but modify two assumptions. First, investors (and possibly intermediaries) neglect certain unlikely risks. Second, investors demand securities with safe cash...
Persistent link: https://www.econbiz.de/10008642158
This paper aims to enrich the standard toolbox for measuring diversity in economics. In so doing, we compare the indicators of diversity used by economists with those used by biologists and ecologists. Ecologists and biologists are concerned about biodiversity: the diversity of organisms that...
Persistent link: https://www.econbiz.de/10005385349
that the influence of environment on optimal growth in the long-run may be explained by the detrimental effect of pollution … on life expectancy. It also shows that, in such a case, greener preferences are growth- and welfare-improving even if the …
Persistent link: https://www.econbiz.de/10005385426
This article investigates the influence of environmental policy on growth assuming that the channel of transmission … (1985) where growth is driven by a mechanism à la Romer (1986). We demonstrate that environmental policy has an ambiguous … effect on growth in the steady-state when the detrimental impact of pollution on health and lifetime is taken into account …
Persistent link: https://www.econbiz.de/10005385436
Data on the growth performances of countries with similar comparative (dis)advantage and political institutions reveal … a striking variation across world regions. While some former autocracies such as the East Asian growth miracles have …
Persistent link: https://www.econbiz.de/10009320995
degradation increases in the early stages of growth, but it eventually decreases as income exceeds a threshold level. The present …
Persistent link: https://www.econbiz.de/10009391480
Over the last two decades in OECD countries an increasing number of firms are obtaining certification as Socially Responsible (CSR is the acronym for Corporate Social Responsibility). Several studies (including Preston and O’Bannon, 1997; Waddock and Graves, 1997; McWilliams and Sieger, 2001; Ullman,...
Persistent link: https://www.econbiz.de/10010603761
diffuses spatially across locations. The result is an endogenous growth theory that can shed light on the link between the …
Persistent link: https://www.econbiz.de/10008540415
taxation and the economic activity (level- and growth-output) becomes inverted-U shaped, when the detrimental impact of …, a tighter environmental tax is more likely to promote (rather than to harm) output-level and –growth when health is very …
Persistent link: https://www.econbiz.de/10008502092
between political stability and economic growth which is stronger and empirically more robust in countries with high … bureaucratic costs. Motivated by these results, which contrast with previous contributions, we develop a model of growth with … between the probability that the incumbent politician remains in office and average economic growth in the presence of high …
Persistent link: https://www.econbiz.de/10008502103