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spell duration and improved post-unemployment job quality. In contrast to many previous empirical studies that have … addressed the negative benefit effect on duration only, the current paper jointly addresses the causal effect of unemployment … benefits on both unemployment duration and post-unemployment wages. Based on panel data from the Survey of Income and Program …
Persistent link: https://www.econbiz.de/10010303934
Motivated by recent disasters, this paper analyzes the risk sharing aspect in a federation. The regions can be hit by a shock leading to losses that occur with an exogenous probability and in a stochastically independent way. The regions can spend effort on selfinsurance to reduce the size of...
Persistent link: https://www.econbiz.de/10010308290
We consider the hold-up problem between a foreign direct investor and the government(s) in a host country with weak governmental structure and lack of power to commit. Using Nash threats, we show that an efficient investment level can be sustained for a sufficiently high discount factor and ask...
Persistent link: https://www.econbiz.de/10010307038
This paper explores the determinants of individual level support for income redistribution by the government. It argues that there are two sources of preference formation when it comes to redistribution. People are either in favor of income redistribution because they are disadvantaged, or they...
Persistent link: https://www.econbiz.de/10010307092
To understand how the welfare state adjusts to economic shocks it is important to explain both the genesis of popular preferences and the institutional incentives of governments to respond to these preferences. This paper attempts to do both, using a general theoretical framework and detailed...
Persistent link: https://www.econbiz.de/10010307102
Politicians within any given party generally exhibit a degree similarity in terms of (political) viewpoints. Moreover, they are often constrained to follow general party lines on certain policy issues. Finally, they may be more likely to mimic one another than politicians from another party....
Persistent link: https://www.econbiz.de/10010306973
Consider a committee that in the past has made a promise not to confiscate the profits from a foreign investor. After the investment has taken place, there is a material benefit if the committee decides to default on the earlier promise. But there are also some small moral costs for those who...
Persistent link: https://www.econbiz.de/10010306978
In federal countries, competence for policy matters is often shared between various levels of government. As only overall outcomes are observed, this might blur accountability by decreasing voters' ability to infer information about the performance of their leaders. In this article, we analyse...
Persistent link: https://www.econbiz.de/10010310737
Die Arbeitsmarktpolitik auf europäischer Ebene hat durch die Krisen der letzten Jahre wiederholt neue Impulse erhalten. Mit den Initiativen für eine europäische Arbeitslosenrückversicherung, einen europäischen Mindestlohn, eine europäische Jugendgarantie und - vor kurzem - Europäische...
Persistent link: https://www.econbiz.de/10012626262
Countries compete for new FDI investment, whereas stocks of FDI generate agglomeration benefits and are potentially subject to extortionary taxation. We study the interaction between these aspects in a simple vintage capital framework with discrete time and infinite horizon, focussing on Markov...
Persistent link: https://www.econbiz.de/10010307003