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Estevadeordal, Brian Frantz and Tam Robert Nguyen (eds), Regional Public Goods: From Theory to Practice, Chapter 1, Washington, DC …, Real Tax Revenue, and the Case for Inflationary Finance: Theory with an Application to Argentina', International Monetary … The Theory of Incentives: The Principal- Agent Model, Chapter 1, Princeton, NJ: Princeton University Press, 7 …
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Uncertainty about a possible harm is obviously relevant in deciding how much to regulate. More surprisingly, however, risks that are completely unrelated to the subject of the regulation can also be important. In particular, uncertainties about the future trajectory and distribution of economic...
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In this paper we study the incentives for basic-research investments by governments in a globalized world. For this purpose, we develop a two-country Schumpeterian growth model in which each country chooses its basic-research investments. We find that a country's basic-research investments...
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In a novel experimental design we study public good games with dynamic interdependencies. Each agent's income at the end of a period serves as her endowment in the following period. In this setting growth and inequality arise endogenously allowing us to address new questions regarding their...
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