This paper tests a geography and growth model using regional data for Europe, the US, and Japan. We set up a standard … geography and growth model with a poverty trap and derive a log-linearized growth equation that corresponds directly to a …

This paper explores how revenue-neutral tax reforms impact employment and economic growth in a model of endogenous … growth and search frictions on the labor market. We analyze how savings and the incentive to create new jobs are affected by … observe an increase in both growth and, via the capitalization effect, employment. Most other tax reforms, however, imply a …

This paper explores how revenue-neutral tax reforms impact employment and economic growth in models of exogenous and … endogenous growth and search frictions on the labor market. We show that (i) a cut in the payroll tax financed by an increase in … the wage tax lowers both equilibrium employment and the equilibrium growth rate, that (ii) a higher energy tax combined …

Williamson (1965) argued that catching up countries experiencing strong national growth tend also to see a widening in … regional disparities, whereas in more developed economies strong national growth and falling regional disparities could go hand … in hand. We find some evidence of a trade-off between national growth and regional dispersion in the EU?s Cohesion …

This paper explores how revenue-neutral tax reforms impact employment and economic growth in a model of endogenous … growth and search frictions on the labor market. We analyze how savings and the incentive to create new jobs are affected by … observe an increase in both growth and, via the capitalization effect, employment. Most other tax reforms, however, imply a …