This paper provides a different basis than previous analyses for regional bloc formation and regional migration. Due to low bargaining power and fixed costs, small states face a severe disadvantage in negotiations with the rest of the world and might benefit by forming a regional bloc. The study...

Does joint taxation disadvantage women? To answer that question, this paper begins by reviewing unitary and bargaining models of intrafamily allocation, and then discusses the determinants of bargaining power in a world without taxes. It argues that wage rates rather than earnings are...

Rothschild and Stiglitz (1976) show that there need not exist a competitive equilibrium in markets with adverse selection. Building on their framework we demonstrate that externalities between agents - an agent's utility upon accepting a contract depends on the average type attracted by the...

In markets with asymmetric information between sellers and buyers, feedback mechanisms are important to increase market efficiency and reduce the informational disadvantage of buyers. Feedback mechanisms might work because of self-selection of more trustworthy sellers into markets with such...

Teamwork and cooperation between workers can be of substantial value to a firm, yet the level of worker cooperation often varies between individual firms. We show that these differences can be the result of labor market competition if workers have heterogeneous preferences and preferences are...

We investigate the impacts of COVID-19 on domestic violence and family stress. Our empirical analysis relies on a unique online survey, Canadian Perspective Survey Series, that allow us to disentangle the mechanisms through which COVID-19 may affect family stress and domestic violence. We find...

This paper analyzes the efficient labor supply of male and female workers in Latin American countries employing the collective model framework (Chiappori et al., 2002). Using data from Time Use Surveys for Mexico (2009) and Colombia (2012), we find evidence of Pareto-efficient labor supply...