In our model of socially responsible (SR) product differentiation two duopolists (a zero profit socially concerned producer and a profit maximizing producer) compete over prices and (costly) “socially and environmentally responsible” features of their products under a given law of motion of...

During the last 20 years, microsimulation models have been increasingly applied in qualitative and quantitative analysis of public policies. This paper discusses microsimulation techniques and their theoretical background as a tool for the analysis of public policies. It next analyses basic...

The evolution of labor force participation rate is modeled using a lagged linear function of real economic growth, as expressed by GDP per capita. For the U.S., our model predicts at a two-year horizon with RMSFE of 0.28% for the period between 1965 and 2007. Larger part of the deviation between...

This paper explores the determinants of individual well-being as measured by self-reported levels of satisfaction with income. Making full use of the panel data nature of the German Socio-Economic Panel, we provide empirical evidence for well-being depending on absolute and on relative levels of...

An income inequality measure satisfies the Pigou-Dalton transfer principle if progressive transfers decrease income inequality. When transfers cause transaction costs, one can trace out the maximum leakage such that the transfer pays at the margin. An income inequality measure is leaky-bucket...

Numerical modelling of the age-dependent personal income distribution (PID) in the USA is fulfilled based on a micro- and macroeconomic model and results of the overall PID modelling. As expected from the age-dependent accuracy of the Current Population Surveys, the model has demonstrated an...

We model the dynamics of social assistance benefit receipt in Britain using data from the British Household Panel Survey, waves 1–15. First, we discuss definitions of social assistance benefit receipt, and present information about the trends between 1991 and 2005 in the receipt of social...

This paper argues that public holidays facilitate the co-ordination of leisure time but do not constrain the annual amount of leisure. Public holidays therefore have benefits both in the utility of leisure on holidays and (by enabling people to maintain social contacts more easily) in increasing...

Using recently developed indices of fractionalization and polarization, we analyze the direct and indirect effects of ethnic and religious heterogeneity on income inequality and on welfare programs across US states. We find strong evidence (1) that there is a positive relationship between ethnic...

This paper is concerned with the analysis of the wealth dimension of poverty in developed countries, which can hardly be measured by means of the information on household income. We focus in identifying the group of households that lack enough wealth holdings to sustain them during a period of...