The paper characterizes the optimal tax policy and the optimal quality of day care services in a OLG model with warm-glow altruism where parental choices over child care arrangements affect the probability that the child becomes a high-skilled adult in a type-specific way. With respect to...

We examine how tax avoidance in the form of trade in well-functioning asset markets affects the empirical study of labor supply. We discuss the implications for tax policy analysis, and we show that a failure to account for avoidance responses may lead to huge errors when predicting how tax...

This paper examines the synchronous leisure of spouses and the extent to which spouses spend time together. The time budget data set used in this paper allows for a distinction between simultaneous time-use of spouses and the actual time that spouses meet. A comparison between couples and...

Recently, a voluminous literature estimating the taxable income elasticity has emerged as an important field in empirical public economics. However, to a large extent it is still unknown how the hourly wage rate, an important component of taxable income, reacts to changes in marginal tax rates....

The objective of this paper is to study when and how much labor supply and savings of heirs respond to inheritances. We estimate fixed effects models following direct heirs, inheriting in 2004, during the years 2000–2008 using Swedish panel data. Our first main result is that the more the heir...

Based on a randomised experiment we estimate effects from notification to medical doctors of tighter monitoring of their medical certificates. Both time prescribed by the doctor certificates for sick leave (prescribed sick leave) and the impact on the length of the actual sickness absence...

We estimate the causal relationship between family size and labour market outcomes for families in low fertility and low female employment regime. Family size is instrumented using twinning and gender composition of the first two children. Among families with at least one child we identify the...

This paper estimates the effects of early interventions in the Swedish sickness insurance system. The aim of the interventions is to screen and, further to, rehabilitate sick listed individuals. We find that the early interventions – in contrast to what is expected – increase the inflow into...

Women account for the majority of parental leave take-up, which is likely one of the major reasons for the gender gap in income and wages. Consequently, many countries exert effort to promote a more gender equal division of parental leave. Indeed, the last decades have seen an increase in...

This paper examines the time profile of the effect of fertility on female labour earnings with respect to time since birth. To address endogeneity of fertility to labour income, we use the same-sex instrument (Angrist and Evans, 1998) in a novel way on a panel data set to uncover the time...