Poverty and inequality persist in many dimensions in the developing world. In order to understand the determinants of poverty and its distribution between and within countries, it is necessary to know its dimensions and the channels through which poverty and inequality affect human well-being....

We construct a model of innovation incorporating R&D externalities, R&D participation, financial market imperfections, and application and allocation of R&D subsidies, estimate it using Finnish R&D project level data and conduct a welfare analysis. The intensive, not the extensive R&D margin is...

In this study, we examine the effect of consumption tax on the growth rate and welfare in a model with money and endogenous fertility. First, we show that an increase in consumption tax always reduces the economic growth rate but has an ambiguous effect on welfare. We show a numerical example...