workers are risk averse but workers more so. Wages are given or partially indexed in the short run, and capital markets are … imperfect. The government sets the exchange rate to allocate risk between workers and owners. With less risk-averse firms, and … greater difference in risk aversion between workers and firms, the optimal exchange rate should vary little with pure terms …

based allocation (Australia, California, New Zealand) and capacity based allocation (EU). This paper characterizes the best … output and capacity based allocation is proved to be the optimal second best policy. The EU scheme for 2013-2020 is discussed …, using cement as a case study. -- cap and trade ; output based allocation ; subsidization of capacity ; climate policy …

different institutional arrangements, through the initial allocation of permits. …

four barriers (geographic distance, cultural distance, foreign investment taxation, and political risk) accounts for a … a situation without barriers. We also find that barriers to global capital allocation contribute significantly to cross …

. For any resource allocation mechanism (ram) and economic dynamics, growth is limited by the long-run level of the maximin …