This paper investigates the employment effects of changes in the structure of taxation and in the tax progression. The contribution is to add endogenous determination of working hours into a union wage setting model. Thus employment effects of any changes in taxation are derived as a labour...

This paper analyses how collective bargaining affects the level and structure of labour and capital taxes in OECD countries by using cross-country-time-series data. Corporatist countries are found to have higher effective labor taxes on average during the 1970-1996 period. Effective capital...

This paper deals with the question whether the automatic fiscal stabilisers are strong enough to solve the problem of asymmetric shocks in the Euro area. The question is important for many reasons, for instance in terms of policy coordination and fiscal federalism. The paper reviews the current...

This paper analyses the productivity of public expenditures. It follows the branch of literature originated by Aschauer but has also some novel features. First of all, it focuses on the effect of both public investment and public consumption (investment part of public consumption) on private...

This paper reviews the macroeconomic performance of the so called Nordic welfare states, especially in terms of growth and employment. In the post-war years the Nordic economies enjoyed rapid growth and full employment. At the same time, under the rule of Social Democratic governments they also...

This paper presents the Finnish system of EMU buffer funds. The idea of the buffer funds is to finance temporary reductions of payroll taxes in a case of asymmetric shock facing the economy. It is well-known that by adjusting payroll taxes it is possible to change real exchange rate, provided...

This report reviews the Finnish science, technology and innovation (STI) policies. The structure and actors of national innovation system (NIS) are described shortly as well as the functioning of education system. The performance of the Finnish STI policies is evaluated by referring to...

This paper summarizes the economic performance of Finland in 1995?2004 and compares the actual developments to the projections made prior to the EU membership. The paper also assesses the impacts of the structural changes induced by the membership. The most pronounced impact of EU membership was...

This paper investigates the adjustment of employment to population shocks in 22 OECD countries over the period 1960 - 1997. Most of the countries have experienced significant population shocks during that period. The speed of adjustment parameter is used as a measure of the functioning of the...

Finland has recently got much admiration due to economic success reflected in rankings of competitiveness, technology, education and economic growth. This success has largely been embodied in the growth of Nokia group and ICT sector. Yet the economic boom and the success of the Finnish high tech...