. Persistently increasing those costs, reduces the welfare in the model economy but increases employment. The reason for the …

workers have the same probability of being hired. We argue that selective hiring crucially affects welfare analysis. Our model … predictions of the model change very little, but the welfare costs of unemployment are much larger because unemployment risk is … distributed unequally across workers. As a result, optimal unemployment insurance may be higher and welfare is lower if hiring is …

is welfare improving for the foreign country, but welfare declining for the domestic country. If only multinational firms … are competitive, the impact on market structure and the welfare of the domestic country is indeterminate, whereas the … welfare of the foreign country improves. By contrast, if the oligopolistic industry is located in both countries, then FDI …

equilibrium effects of GATT/WTO membership on trade and welfare. Using an extensive database covering manufacturing trade for 186 … general equilibrium effects of GATT/WTO on welfare, which are sizable and heterogeneous across members, and relatively small … gain in terms of welfare, due to beneficial terms-of-trade effects. …

-run output effects of the different consolidation strategies, but also regarding the welfare effects and the distributional … of credit-constrained households who cannot smooth consumption has a large impact on the overall output and welfare …