In this paper, we argue that shadow activities and different levels of marketization of household production systematically distort international comparisons of aggregate gross household saving rates (HSRs): Higher shares of hidden income increase observed HSRs. Panel data for 18 (24)...

A large literature has related the failure of interest rate parity in the foreign exchange market to the existence of a time-varying risk premium. Nevertheless, most modern open economy DSGE models imply a (near) perfect interest rate parity condition. This paper presents a stylized two-country...

We study empirically the role of education, age structure and other socioeconomic factors as a determinant of the transition to stable democratic regimes. Our findings suggest that educational improvements (in particular in primary education) and policies towards reducing inequalities in...

Before the introduction of the Euro many observers had expected an increase of inflationary pressures due to a de-coordination-shock to national wage bargaining. However, if anything systematically happened after the introduction of the Euro wage restraint increased (Posen and Gould 2006). A...

This article presents a framework within which the effects of demographic change on both agglomeration and growth of economic activities can be analyzed. I introduce an overlapping generation structure into a New Economic Geography model with endogenous growth due to learning spillovers and...

This article investigates agglomeration processes in aging societies by introducing an overlapping generation structure into a New Economic Geography model. Whether higher economic integration leads to spatial concentration of economic activity crucially hinges on the economies' demographic...

This article explores how a public service broadcasting company, namely ORF in Austria, has dealt with the challenges created by the dual system. An investigation of market requirements, public programming mandate, cost structure and financing needs reveals how economic and political constraints...

Modern macroeconomic models with a Keynesian flavour usually involve nominal rigidities in wages and commodity prices. A widely used conceptual framework is specifying a wage-setting and a price setting equation, while a more explicit microfoundation recurs to wage bargaining in the labour...

In this paper I analyze a vertically structured monopolized market with unionized firms. I compare two types of contracts: vertical integration and franchising. With franchising and wage bargaining at the firm level the union in the downstream firm is either very powerful or has no bargaining...

This paper estimates the effects of imports on employment, wages, and the wage share in Austria for the period of 1990-2005 using panel data of manufacturing industry. Imports are disaggregated according to their origin and as final vs. intermediate imports. There is evidence of significant...