With respect to the labor market participation of the elderly in welfare states, the economic literature focuses on the incentives to the worker in the light of generous early retirement opportunities. The sociological literature on the other hand addresses the problem of low productivity of...

Analysing various arrangements of intercountry trade, this paper investigates the impact of exchange rate risk on production and expected trade. It addresses the question how a mean-preserving spread of the exchange rate distribution effects strategic aspects of different trading arrangements....