Despite the well-known static cost-inefficiency of uniform emission standards to control pollution, governments continue to use them in a variety of settings. In this paper, we show that inspection agencies can sometimes use their informational advantage to design monitoring strategies that...

This paper explores the relationship between trade openness and economic growth through a change in institutions. To do so, the paper creates a theory of endogenous institutional change where there are three social groups, each one owns a specific production factor. An ellite (landowners)...

The existence of a universal minimum wage has been, and continues to be, an intensely debated issue. On the one hand, the controversy surrounding minimum wage appears to be partly justified because the effects of the introduction and increase of minimum wage may differ greatly depending on the...

In this paper, we study the incentives to adopt advanced abatement technologies in the presence of imperfect compliance. Surprisingly, incentives to adopt advanced abatement technologies remain intact under emission taxes and pollution abatement subsidies when compared to the perfect compliance...

This reports on a preliminary investigation of surnames distributions as a measure long run social mobility. In England this suggests two surprising claims. First, England, all the way from the heart of the Middle Ages in 1250 to at least 1860, was a society without persistent social classes. It...

Sometimes, theoreticians explicitly state that they consider their models as examples. When this is not the case, it is fairly common for theoreticians to attribute to their models the characteristics and objectives of illustrative examples. However, this way of understanding models has not...

In games with multiple equilibria, the fairest equilibrium –in case one exists- may be the obvious solution for some players but not for others, and players can be aware of this heterogeneity. This paper theoretically explores how coordination could be achieved in this case. The model is...

El presente trabajo pretende desagregar el capital humano en sus dos componentes principales: la educación formal en la escuela y la formación en el trabajo. Analizando el comportamiento de ambas formas de acumulación de capital humano por separado, se pretende conseguir un mejor conocimiento...

Over time, inspection agencies gather information about firms that cause harmful externalities. This information may allow agencies to differentiate their monitoring strategies in the future, since inspections can be influenced by firms’ past performance relative to other competitors in the...