Portfolio choice is usually modelled by von Neumann-Morgenstern utility. Risk-value models are more general and permit the derivation of risk-value efficient frontiers. A behaviorally based risk measure with an endogenous or exogenous benchmark is used to derive efficient portfolios and to...

This paper builds up a two country model of trade and unemployment allowing for perfect mobility of capital across the borders. Capital moves from the north to the south, which suffers from unemployment. A few basic policies related to lowering of unemployment are discussed. In particular it is...

An n-commodity, n-factor, A"-country log-linear model is developed, with identical Cobb-Douglas production coefficients and identical consumer expenditure shares across countries, in which factor endowments are such as to permit positive production of all commodities in all countries, hence...

The paper analyzes strategic commodity taxation in a model with trade in a single private good which is simultaneously imported by consumers of a high-tax region and exported by its producers. Conditions for the existence of a Nash equilibrium are given and an asymmetry is introduced through...

In this paper we consider a multinational firm under exchange rate risk in a multiperiod model. We analyze the impact of exchange rate uncertainty and the use of currency futures on the risk-averse firm's decisions about home and foreign production. Without any markets for hedging an increase in...

Traditional political economy models of taxation fail to explain why there is so little redistribution of wealth despite significant wealth inequalites. This is for two reasons: (1) The median voter approach cannot deal with a multidimensional policy-space and (2) wealth taxation affects...

This paper analyses second-best optimal environmental policies in the presence of a double dividend. Using a partial equilibrium model, the paper first reconfirms the well-known result that the existence of a double dividend (in its weak form) favours environmental policy instruments which -...

This paper studies income-redistribution effects from labor migration in a small open economy under alternative assumptions on the international mobility of capital. Our principal result is that induced international capital flows dampen or may even reverse redistribution effects. However, as...

In the past few years, the role of international organizations involved in supplying developing countries with capital has changed - not only have they increased their volume of lending, but they have also become catalytic agents stimulating continuing private bank lending to less developed...