-term unemployed. In this paper, we use an incomplete-market model with search unemployment to evaluate the macro-economic and welfare …-run (noncyclical)unemployment rate in Germany by 1.4 percentage points. We also find that the welfare of employed households increases …, but the welfare of unemployed households decreases even with moderate degree of risk aversion. …

We study welfare effects of horizontal mergers under a successive oligopoly model and find that downstream mergers can … increase welfare if they reduce input prices. The lower input price shifts some input production from cost- inefficient … conditions for a reduction in input prices and welfare-improving horizontal mergers under a general demand function. Qualitative …