Intergenerational conflicts may arise when interests of different age groups do not align. We examine cross-country data to find evidence for this conflict in OECD countries. We derive our results from a FGLS estimation model, which is complemented by a System-GMM estimation. Data covers a panel...

In a two-period model with agent heterogeneity we analyze a pension reform toward a stronger link between contributions and benefits (as recently observed in several countries) in a pension system with a Bismarckian and a Beveridgian component. We show that such a policy change reduces the...

Using a sample of 20 OECD countries it is shown that the majority of countries decreased the level of intragenerational redistribution in the first pillar of their pension systems, though the evidence is weak in statistical terms. We find strong correlations between changes of the so-called...

We use the Hsiao-Granger method to test for growth-terrorism causality for seven Western European countries. In bivariate settings, the impact of economic performance on domestic terrorism is very strong. In trivariate settings, the impact of performance on terrorism diminishes. Here, we find...

Illegal immigration affects not only EU member states at the Mediterranean Sea but also more Northern states due to open internal borders and onward migration. Northern member states may free-ride on border countries’ enforcement efforts, leading to a sub-optimal level of border control. While...

This paper studies a two-region model in which unemployment, education decisions and interregional migration are endogenous. The poorer region exhibits both lower wages and higher unemployment rates, and migrants to the richer region are disproportionally skilled. The brain drain from the poor...

Illegal immigration is a major policy challenge in Europe, in particular in countries on the external border of the EU such as Italy or Spain. However, there are likely to be important effects on the rest of the EU, too, depending on the policies against illegal immigration in border countries....

Within the last years, the development of the pension value (Rentenwert), which determines the size of public pension benefits in the German public pension system, was strongly affected by discretional changes in the method of its calculation. The aim of the present study is to shed light on the...

In this paper we analyze the effect of increasing labor (i.e. graduates’/ academics’) and student mobility on net tax revenues when revenuemaximizing governments compete for human capital by means of income tax rates and amenities offered to students (positive expenditure) or rather tuition...