This paper advances a dynamic simultaneous equation panel framework to re-examine the determinants of economic growth in a large cross-country data set. Besides caputring the simultaneity of the potential determinants of economic growth and carefully separating short- from long-run dynamics, the...

In this paper, we study the effect of education on economic growth. In particular, we want to show that education can cause some nonlinearities in the human capital accumulation process. These nonlinearities may affect the economic growth path. In the first part of this work, we will provide a...

This paper discusses the emergence of endogenous redistributive cycles in a stochastic growth model with incomplete asset markets and heterogeneous agents, where agents vote on the degree of progressivity in the tax-transfer-scheme. We develop two models, the first being highly-stylized, where...

This paper investigates the redistributive effects of taxation on occupational choice and growth. We discuss a two-sector economy in the spirit of Romer (1990). Agents engage in one of two alternative occupations: either self-employment in an intermediate goods sector characterized by...