We examine the optimal labor market-policy mix over the business cycle. In a search and matching model with risk-averse workers, endogenous hiring and separation, and unobservable search effort we first show how to decentralize the constrained-efficient allocation. This can be achieved by a...

The divergence of unemployment rates between the United States and Europe coincided with a substantial acceleration in capital-embodied technical change in the late 1970s. Evidence suggests that European economies have lagged behind the United States in the adoption and usage of new...

Recent experimental evidence suggests that donors are averse to giving to charities with high overhead ratios. This paper asks whether donors are also averse to giving to charities spending a high share of the donations on unavoidable administrative expenses. The results of an experiment with a...