Times of high unemployment always inspire debates on the role of labor market policy and its optimal implementation. This paper uses a dynamic model of search unemployment and bilateral wage bargaining, rich enough to analyze a set of policy instruments with respect to their employment and...

What matters to economic decision-making is whether the economy has become more or less predictable. People and businesses use information around them to form judgements about what might happen in the future. The rise in uncertainty might be associated with increased concern about extreme...

We show that a minimum wage can have large effects throughout the earnings distribution, using a combination of theory and empirical evidence. To this end, we develop an equilibrium search model featuring empirically relevant worker and firm heterogeneity. We use the estimated model to evaluate...

Boris Johnson’s populist policy against immigrants and asylum seekers, dumped in detention camps in Rwanda, may not succeed because of legal constraints. Yet, his political agenda will probably work nevertheless, given the growing xenophobia among his electorate. Against expert advice, Home...

ABSTRACT & RÉSUMÉ & ZUSAMMENFASSUNG : Boris Johnson’s populist policy against immigrants and asylum seekers, dumped in detention camps in Rwanda, may not succeed because of legal constraints. Yet, his political agenda will probably work nevertheless, given the growing xenophobia among his...

In this paper a life-cycle model is constructed to study the macroeconomic effects and welfare implications associated with eliminating mandatory retirement. Our short run analysis reveals that changes in welfare during the transition depend on the dynamic nature of the wage rate adjustment...

This paper looks at productivity growth rates in Malta and Cyprus and proposes policies as to how these island states countries might augment their productivity and competitiveness. We identify three possible growth strategies for the islands: an Innovation-Oriented Economy, a Controlled...

This paper provides a concise overview of Russia's economy. First, it describes the growth model of the past fifteen years and explains why that model is now exhausted. Secondly, it examines the reaction of the country´s leadership to the stagnating economy. Finally, to evaluate the feasibility...

In the U.S. and in other OECD countries, government debt levels as compared to GDP have soared since 2007. According to statistics from the Federal Reserve, the U.S. government debt level reached 62.86% of GDP by Q4 2007 and the debt level has increased to 127.52% by Q1 2021. Q4 2007 was, of...