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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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I provide new empirical evidence on the direct and indirect impact of services offshoring on local employment and wages …, using a unique dataset on firms in the UK for the period 2000-2015. Exploiting variation in firms' services offshoring … across labour markets, I show positive aggregate local labour employment and wage elasticity to services offshoring …
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This paper reconsiders the economic explanation of EU regional policy from an evolution- ary perspective. It contrasts the neoclassical equilibrium notions of market and government failure with the prevalent evolutionary neo-Schumpeterian and Austrian-Hayekian perceptions. Based on this...
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