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We develop a measure of static misallocation that separates uncertainty from misallocation generated by tax-like distortions. In the Finnish firm-level data, uncertainty accounts for the majority of ex post misallocation and explains a strong decreasing age-dependent trend in it. To understand...
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Governments often provide their citizens with goods and services that are also supplied in markets: education, housing, nutritional assistance, etc. We analyze the political economy of the public provision of private goods when individuals care about their social image. We show that image...
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model is to explore the link between budget contributions and allocation that arises when countries bargain over union … contribution margin, can also improve overall efficiency despite decreasing the efficiency of the allocation of funds … Budget einerseits und dessen Allokation andererseits, der aus dem Verhandlungsprozess resultiert. Dieser Zusammenhang …
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