In this paper we develop a model where agents can acquire goods using cash and two non-cash alternatives. We use it to study the effects of the pricing policy of payment methods implemented in Norway, carried out by individual banks and promoted by the authorities. We show that this policy...

This paper examines the implications of ex ante skill heterogeneity for long run inflation. We develop a dynamic general equilibrium model in which there are two types of labor (skilled and unskilled), two types of capital (human and physical), and money is introduced via a cash in advance...

This paper devises an endogenous growth model with physical capital, human capital and product variety. Differently to previous works, innovation is subject to externalities associated to the duplication of research effort, as well as to R&D spillovers. We provide conditions for the existence of...

This article presents new international estimates of human capital for the period 1970–2003. The new latent index is used to re-examine the Benhabib and Spiegel (2005) model of technology diffusion in a horse-race with the competing indicators of Barro and Lee (2010) and Hanushek and Wößmann...

A translog production function and an extended translog production function with third-order terms are estimated for the 50 Spanish provinces in the period 1985–2006. The results show the existence of complementarity relationships between private physical and human capital. Likewise, they show...

Anecdotal evidence points to a falling standard of living for the educated in Venezuela. During this same period, President Hugo Chávez implemented several education reforms. We focus on a major university education reform known as Mission Sucre and its potential impact on returns to university...

Professional competencies are a key factor in gauging how employable a graduate is. This paper demonstrates that individuals who have best developed the competencies which firms feel to be most important are more likely to be in a position to obtain a job. To this end, we have developed an...

In this paper we study the impact of cognitive ability on college major choices using an administrative data set for full-time students enrolled in four-year business and economics programs offered by the largest Slovenian university. In contrast to existing studies, we are able to distinguish...

Although it is well-known that individuals’ risk attitudes are related to behavioral outcomes such as smoking, portfolio decisions, and educational attainment, there is virtually no evidence of whether parental risk attitudes affect the educational attainment of their dependent children. We...

Evidence from industrial nations suggests that sibling composition is associated with children's educational attainment, particularly if parents face resource constraints. If sibling composition is associated with educational attainment, then those associations should be stronger in poor...