We develop a product market theory that explains why firms invest in general training of their workers. We consider a … employees and finally engage in imperfect product market competition. Equilibria with and without training, and multiple … equilibria can emerge. If competition is sufficiently soft and trained workers are substitutes, firms may invest in non …

We develop a product market theory that explains why firms invest in general training of their workers. We consider a … employees and finally engage in imperfect product market competition. Equilibria with and without training, and multiple … equilibria can emerge. If competition is sufficiently soft and trained workers are substitutes, firms may invest in non …

goods and externalities - III. Efficiency analysis - IV. Fiscal competition and optimality. … processes for public and private goods - II. Environment, public goods and externalities - III. Efficiency analysis - IV. Fiscal … competition and optimality. The four pictures above evoke a key concept, method or model used in each of these four parts: MDP …

decisions about the level of the public good. We derive the following results: i) Political competition is a necessary but not a … select institutions which restrict the power of politicians. iii) In conjunction with political competition, these …