Incorporating arbitrage-free term-structure dynamics into a semi-structural macro-model, we jointly estimate the real equilibrium interest rate (r*), trend inflation, and term premia for the United States and the euro area, using a Bayesian approach. The natural real rate and trend inflation are...

The inverse relationship between unemployment and Gross Domestic Product (GDP), commonly known as Okun?s law, has been traditionally analysed in the economic literature. Its application to Spain is interesting as the strong impact of business cycles on unemployment is a particular feature of the...

In this paper I evaluate the effects of a regional experiment that reduced payroll-taxes by 3-6 percentage points of the firm's wage sum in Northern and Eastern Finland. I estimate the effect of the payroll-tax reduction on firms' employment, wage sum and profits, and on workers hourly pay and...

Transformation to post-industrial or knowledge-based economies causes changes in the structure of labour markets with growing demand on highly-qualified workforce. In XXI century human capital has become one of the most important production factors determining competitiveness and innovativeness...

Empirical research on agglomeration and regional economic growth puts high emphasis on the impact of specialization, diversity, and competition on regional employment dynamics (Glaeser et al. 1992, Henderson et al. 1995, Blien et al. 2006, Fuchs 2009). However, Beugelsdijk (2006) and Raspe/van...

This paper studies the effects of investment tax credits on firms’ input choices by exploitinga sudden shift in the tax credit rate by firm size for manufacturing firms in Germany in 1999. I find that more generous tax credits lead to a significant increase in both investment and employment,...

A significant reallocation of labour towards "green" jobs will be crucial for the transition to a decarbonised economy. Skills mismatches challenge the feasibility of this reallocation, particularly with many developed countries also facing substantial labour shortages. This paper analyses the...