This paper construct a two-sector model of two-period lived overlapping generations with endogenous occupational choice where ability-heterogeneous agents choose whether to become educated when young. We show that the steady-state equilibrium can be locally indeterminate even under linear...

This paper construct a two-sector model of two-period lived overlapping generations with endogenous occupational choice where ability-heterogeneous agents choose whether to become educated when young and henceforth to become skilled when old. We show that endogenous occupational choice in this...

This paper introduces a general equilibrium, overlapping generations model of the principal- agent problem. Bargaining power, occupational choice, and the returns to each occupation are endogenous. Individuals live for two periods and must work when young. When old, they have a choice between...

In the real world, two types of education investment may exist. One of these contributes to labor skills, and the other does not, corresponding to human capital and signal invest- ment, respectively. The question is how individuals determine the ratio of these alternative investments. In...

"Gregariousness and social interaction are important aspect of human life with implications also for labour markets. To the best of our knowledge, this paper is the first to examine gregariousness and social interaction at the workplace and associated wages for Germany. Our empirical findings...

"Gregariousness and social interaction are important aspect of human life with implications also for labour markets. To the best of our knowledge, this paper is the first to examine gregariousness and social interaction at the workplace and associated wages for Germany. Our empirical findings...

This paper presents a simple model to examine the implication of credit market imperfections when considering the massive variation of agricultural labor productivity across countries. The development of credit markets enables more agents to acquire skills to work in non-agricultural sectors....

Optimal forecasts are, under a squared error loss, conditional expectations of the unknown future values of interest. When stochastic demographic models are used in macroeconomic analyses, it becomes important to be able to handle updated forecasts. That is, when population development turns out...