Showing 1 - 10 of 27
Persistent link: https://www.econbiz.de/10000679420
Persistent link: https://www.econbiz.de/10010274028
In this paper we analyse the employment implications of firing restrictions. We find that when a recession is expected and the trend rate of productivity growth is small, a rise in firing costs affects mainly the hiring decision. Thus there is a negative effect on average employment. When, on...
Persistent link: https://www.econbiz.de/10010274030
Persistent link: https://www.econbiz.de/10000652688
Persistent link: https://www.econbiz.de/10000652689
Persistent link: https://www.econbiz.de/10000652913
Persistent link: https://www.econbiz.de/10003155987
The paper studies the interaction between cyclical uncertainty and investment in a stochastic real option framework where demand shifts stochastically between three different states, each with different rates of drift and volatility. In our setting the shifts are governed by a three-state Markov...
Persistent link: https://www.econbiz.de/10003888036
Strong hysteresis in the labour market (see Cross, 1995) requires workers to be heterogeneous in terms of the cost of hiring and firing. We show how such heterogeneity arises naturally in labour markets due to differences in workers’ age by showing that both the hiring and the firing...
Persistent link: https://www.econbiz.de/10003936605
The possibility of low-probability extreme events has reignited the debate over the optimal intensity and timing of climate policy. In this paper we therefore contribute to the literature by assessing the implications of low-probability extreme events on environmental policy in a continuous-time...
Persistent link: https://www.econbiz.de/10003977579