In a game with pre-play bilateral communication, messages may trigger moral incentives to honor promises or agreements. We hypothesize that individuals’ inclination to keep a promise is highest if the counterpart requited the promise. We interpret this as an inclination to honor agreements. We...

This paper investigates the Italian insurance system by analyzing the (interlock) linkages among companies created through their directors. This approach defines interlocking directorates as the tie created between two companies when a person is a member of both boards of directors; each case of...

In this paper, we analyze coordination of macroeconomic stabilization policies within the EMU by focusing, in a dynamic set-up, on asymmetries, externalities, and the existence of a multi-country context. We study how coalitions among fiscal and monetary authorities are formed and what are their...

This paper investigates the market structure of the insurance business by analyzing the (interlock) linkages among companies created by their directors. We focus on the non-life business since this is a sector relatively closed with respect to the competition with other financial activities; an...

Following the recent developments of the literature on stabilization policies, this paper investigates the effect of tax distortions on equilibrium determinacy in a New Keynesian economy with rule-of-thumb consumers and capital accumulation. In particular, we focus on the inter-action between...

Social pacts, while improving macroeconomic performance, usually impose costs on unions. To facilitate the formation of such pacts, various substitutes can operate, such as the payment of transfers or, to some extent, the conservativeness of the government, union’s inflation aversion or...

This paper investigates the effects of monetary policy in presence of heterogeneous consumers. We study the effectiveness (quantitative effects) of monetary policy and equilibrium determinacy properties of a New Keynesian DSGE model where a fraction of households cannot smooth consumption. We...

Measuring migrants’ integration into host societies is a challenging task as, in general, measuring any social behavior and social phenomena. The task is affected by many specific problems related to the definition of the objective of study and the impact of subjective evaluations in the...

This paper studies corporatism as the outcome of bargaining between the government and a representative labor union. We show that if negotiations between these two parties only relate to macroeconomic stabilization, corporatism can never be beneficial to both parties. As corporatist policies are...