Deindustrialisation: Although Belfast’s industrial base had experienced decline since the 1930s, the indus-trial crisis reached its peak in the late 1970s/early 1980s with all the traditional industrial sectors affected (e.g. shipbuilding, engineering, linen-production). Due to the accelerated...

This paper develops a simple model to analyze how a lack of politi-cal competition may lead to policies that hinder economic growth. Wetest the predictions of the model on panel data for the US states. Inthese data, we …nd robust evidence that lack of political competitionin a state is...

Whether or not the marginal product of capital (MPK) differs across countriesis a question that keeps coming up in discussions of comparative economic developmentand patterns of capital flows. Using easily accessible macroeconomic datawe find that MPKs are remarkably similar across countries....

Why are some countries so much richer than others? Development Accounting is a first-passattempt at organizing the answer around two proximate determinants: factors of productionand efficiency. It answers the question “how much of the cross-country income variance canbe attributed to...

In this paper we apply the same framework totime-series data from the United States over theperiod 1963–1992. We find that throughout thisperiod the efficiencies of skilled labor and capitalhave risen. The efficiency of unskilled laborhas risen in tandem with those of the otherfactors in the...

There are two sources of inconsistency in existing cross-country empiricalwork on growth: correlated individual effects and endogenous explanatoryvariables. We estimate a variety of cross- country growth regressions usinga generalized method of moments estimator that eliminates both problems.In...

We analytically and quantitatively examine a prominent justification forcapital income taxation: goods preferred by those with high ability ought tobe taxed. We study an environment where commodity taxes are allowed to benonlinear functions of income and consumption and find that, when ability...

We analytically and quantitatively examine a prominent justi…cation for capital income taxation: goodspreferred by those with high ability ought to be taxed. We study an environment where commodity taxesare allowed to be nonlinear functions of income and consumption and …nd that, when ability...

Government-nanced bank restructuring programs, occasionally costing up to 50% of GDP,are commonly used to resolve banking crises. We analyze the Ramsey-optimal paths of bankrecapitalization programs that weigh recapitalization benets and costs under dierent nancingoptions. In our model bank...

We consider nancial positions belonging to the Banach lattice of bounded measurable functionson a given measurable space. We discuss risk measures generated by general acceptance sets allowingfor capital injections to be invested in a pre-specied eligible asset with an everywhere positive...