A central puzzle in international finance is that real exchange rates are volatile and, in stark contradiction to effcient risk-sharing, negatively correlated with cross-country consumption ratios. This paper shows that incomplete asset markets and a low price elasticity of tradables can account...

"In the United States powerful job gains have been achieved in the last 25 years. In contrast the number of jobs in the European Union has increased comparatively little. At the same time unemployment has grown in two phases in the European countries whereas it remained at a comparatively low...

Die langfristige Produktivitätsentwicklung einer Volkswirtschaft ist der zentrale Indikator für die Beurteilung der wirtschaftlichen Entwicklungsperspektiven. Ländern mit einer Produktivitätslücke zu den führenden Ländern sollte es aus theoretischer Perspektive gelingen, diese Lücke...