We conduct an experiment to study how imperfect knowledge of the state space affects subsequent choices under uncertainty with perfect knowledge of the state space. Participants in our experiment choose between a sure outcome and a lottery in 32 periods. All treatments are exactly identical in...

Redistribution is an inevitable feature of collective pension schemes. It is still largely an open question what people‘s preferences are regarding redistribution—both through pensions schemes as well as more generally. It would seem that economists have little to say about this question, as...

We study a framework where two duopolists compete repeatedly in prices and where chosen prices potentially affect future market shares, but certainly do not affect current sales. This assumption of consumer inertia causes (noncooperative) coordination on high prices only to be possible as an...

During large sporting events criminal behaviour may be affected via three main channels: (i) fan concentration, (ii) self incapacitation, and (iii) police displacement. In this paper I exploit information on football (soccer) matches for nine London teams linked to detailed recorded crime data...

A set of coalition structures P is farsightedly stable (i) if all possible deviations from any coalition structure p belonging to P to a coalition structure outside P are deterred by the threat of ending worse off or equally well off, (ii) if there exists a farsighted improving path from any...

In this paper we document the growing dispersion of external and internal balances between countries in the North and South of the Euro area over the time period 1992 to 2007. We find a persistent divergence process that seems to have started with the introduction of the common currency and has...

A meta-analysis is used to study the average wage effects of on-the-job training. This study showsthat the average reported wage effect of on-the-job training, corrected for publication bias, is2.6 per cent per course. The analyses reveal a substantial heterogeneity between training...

In this paper, we estimate tenure-performance proles using unique panel data that containdetailed information on individual workers'' performance. We find that a 10 per cent increase intenure leads to an increase in performance of 5.5 per cent of a standard deviation. Thistranslates to an...

As suggested by human capital theory, workers with flexible contracts participate less often intraining than those with permanent contracts. We find that this is merely due to the fact thatflexworkers receive less employer–funded training, a gap they can only partly compensate for bytheir own...

A number of recently published papers have focused on the problem of testing for a unit root inthe case where the driving shocks may be unconditionally heteroskedastic. These papers have,however, assumed that the lag length in the unit root test regression is a deterministic functionof the...