Conventional pension systems suffer from a design defect which makes them financially unsustainable, and a source of inefficiency for the economy as a whole. The paper outlines a second-best policy which includes a public pension system made up of two parallel schemes, a Bismarckian one allowing...

We model an urban labour market in a developing economy, incorporating workers' risk attitudes. Trade-offs between risk aversion and ability determine worker allocation across formal and informal wage employment, and voluntary and involuntary self employment. Greater risk of informal wage...

The paper deals with causes and consequences of constraints on the adjustment of employment. First, a model of a delayed adjustment of employment and capital is worked out. This model is augmented with linear constraints on the adjustment speed of labour supply and demand. The aggregate model is...

Der vorliegende Beitrag bietet eine Literaturübersicht über Migration und Einwanderungspolitik. Zunächst wird eine Bestandsaufnahme über Migrationsströme vorgenommen. Die Bundesrepublik kann dabei auf eine reiche Erfahrung mit der Einwanderung von Gastarbeitern und in jüngerer Zeit auch...

This paper deals with the German apprenticeship training system. We first set the scene by describing the operation of the system, including the statistical picture in terms of supply and demand and costs; the relationship between the vocational training and the educational systems; the complex...

Verschiedene Verbindungen zwischen lokalen Kapitaleinheiten können Komplementaritäten in den Standortentscheidungen begründen: Skalenerträge und Spillovereffekte, Input- Output-Beziehungen bei Transportkosten und EinkommenskreislaufefTekte. In einem stilisierten Modell wird ihr simultaner...

Models of consumer behavior play a key role in modern empirical Industrial Organization. In this paper, I survey some of the models used in this literature. In particular, I discuss two commonly used demand systems: multi-stage budgeting approaches and discrete choice models. I motivate their...

In this paper we examine the asymptotic properties of the estimator of the long-run coefficient (LRC) in a dynamic regression model with integrated regressors and serially correlated errors. We show that the OLS estimators of the regression coefficients are inconsistent but the OLS-based...