A framework for immigrant’s choice of location is based on recent studies on non-market interactions which explains how migrants concentrate. Applying data on the distribution of immigrants in 95 French provinces, the social interactions are subsequently estimated. This social componentʺ of...

Forward guidance operates via the expectations formation process of the agents in the economy. In standard quantitative macroeconomic models, the expectations are unobserved state variables and little scrutiny is devoted to analysing the dynamic behaviour of these expectations. We show that the...