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Under perfect competition on the output market, first best technology subsidies in the presence of learning by doing … setting of imperfect competition is more appropriate. We show that the second best output subsidy for learning by doing in … renewable energies takes the market distortion due to imperfect competition into account and is of ambiguous sign. Based on …
Persistent link: https://www.econbiz.de/10010286296
both the retailers.incentive to raise their buyer power and the retailers' competition for suppliers. We find that the use …
Persistent link: https://www.econbiz.de/10010286309
We incorporate inequity aversion into an otherwise standard New Keynesian dynamic equilibrium model with Calvo wage contracts and positive inflation. Workers with relatively low incomes experience envy, whereas those with relatively high incomes experience guilt. The former seek to raise their...
Persistent link: https://www.econbiz.de/10010286313
We test for differences across the two most recent NHANES survey periods (19881994 and 1999 2004) in self-perception of weight status. We find that the probability of self-classifying as overweight is significantly lower on average in the more recent survey, for both men and women, controlling...
Persistent link: https://www.econbiz.de/10010286314
Why is GDP so much more volatile in poor countries than in rich ones? To answer this question, we propose a theory of …
Persistent link: https://www.econbiz.de/10010286316
This paper studies the effects of tariffs on intra-firm trade. Building on the Antràs and Helpman (2004) North-South theoretical framework, I show that higher Northern tariffs reduce the incentives for outsourcing and offshoring, while higher Southern tariffs have the opposite effects. I also...
Persistent link: https://www.econbiz.de/10010286321
A model with two different production sectors and endogenous growth based on the accumulation of sector-specific human capital due to learning-by-doing is presented. Accumulation of experience is measured by means of sectoral production output aggregated over time. Growth is controlled by a...
Persistent link: https://www.econbiz.de/10010286347
In this paper we introduce the cost channel of monetary policy (e.g., Ravenna and Walsh, 2006) into an otherwise standard New Keynesian model of a two-country monetary union, which is being hit by aggregate, asymmetric and idiosyncratic shocks. The single central bank implements the optimal...
Persistent link: https://www.econbiz.de/10010286352
We study the effects of high skilled immigration on employment and net income in the receiving economy where the market for low skilled labour is distorted by union wage setting and a redistributive unemployment benefit scheme. Based on the empirical fact that high and low skilled workers are...
Persistent link: https://www.econbiz.de/10010286354
This paper analyzes how trade liberalization influences the unemployment rate of workers with different abilities. We refine the Melitz (2003) framework to account for trade unions and heterogeneous workers, who differ with respect to their abilities. Our main findings are: (i) highability...
Persistent link: https://www.econbiz.de/10010286355