The Great Recession did not only affect European countries to a varying extent, its impact onnational labour markets and on specific socio-economic groups in those markets also variedgreatly. Institutional arrangements such as employment protection, unemployment insurancebenefits and minimum...

This paper is the first to provide evidence of efficient taxation of groups with heterogeneouslevels of ‘tax morale’. We set up an optimal income tax model where high tax morale impliesa high subjective cost of evading taxes. The model predicts that ‘nice guys finish last’: groupswith...

The success of the flat rate tax in Eastern Europe suggests that this concept could also be amodel for the welfare states of Western Europe. The present paper uses a simulation modelto analyse the effects of revenue neutral flat rate tax reforms on equity and efficiency for thecase of Germany...

A large empirical literature documents a rise in wage inequality in the American economy. Itis silent on whether the increase in inequality is due to greater heterogeneity in thecomponents of earnings that are predictable by agents or whether it is due to greateruncertainty faced by agents...

This paper extends the widely used ordered choice model by introducing stochasticthresholds and interval-specific outcomes...

This paper begins the synthesis of two currently unrelated literatures: the human capitalapproach to health economics and the economics of cognitive and noncognitive skillformation. ...

The Great Recession did not only affect European countries to a varying extent, its impact on national labour markets and on specific socio-economic groups in those markets also varied greatly. Institutional arrangements such as employment protection, unemployment insurance benefits and minimum...