Previous literature has identified considerable non-pecuniary costs to macroeconomic fluctuation and uncertainty. The present paper investigates whether and to what extent labor market institutions can mitigate those costs. We study how life satisfaction of European citizens is affected by...

Municipalities sometimes retain separate police departments and park services while cooperating in public schooling services with neighboring municipalities. The theoretical model of Ellingsen (1998) predicts that: 1) under Tiebout sorting, larger size differences make big municipalities more...

Ever since the classical works of Smith and Veblen, economists have recognized that individuals care about their relative positions and status in addition to their own consumption. This paper addresses a new framework of choice experiments in order to specify the shape of utility function with...