It is puzzling that people feel quite unhappy when they become unemployed, while at thesame time active labor market policies are needed to bring unemployed back to work morequickly. Using data from the German Socio-Economic Panel, we investigate whether there isindeed such a puzzle. First, we...

This paper studies the presence of hours constraints on the UK labor market and its effect onolder workers labor supply, both at the extensive and the intensive margin. Using panel datafor the period 1991-2004, the results from a competing risks model show that over-employedmale workers can...

Market imperfections may cause firms and workers to under-invest in specific training. Thispaper shows that profit sharing may be a suitable instrument to enhance specific traininginvestments, either by enhancing wage flexibility or by increasing the returns to training...

One important concern of governments in developing countries is on how to phase-out largesafety nets programs. This paper evaluates the short run effects of one possible exit strategy,programs that promote self-employment, in Argentina. We provide evidence that a smallfraction of beneficiaries...