We consider the collective model of labor supply with marketable domestic production. We first show that, if domestic production is mistakenly ignored, the ?collective? indirect utilities that are retrieved from observed behavior will be unbiased if and only if the profit function is additive....

This paper augments the existing literature on trade and child labor by exploring the effects of terms of trade changes in the context of a three good general equilibrium model, where one of the goods is a non-traded good. We find that under quasi-linear preferences the effect of the terms of...

The paper analyzes the effect of human-capital investments of heterogeneous individuals on the dynamics of the wage structure within a neoclassical growth model. The accumulation of physical capital changes relative factor prices and thus incentives to acquire skills, thereby altering the...

It has been claimed that the market fosters selfishness and thereby undermines the moral basis of society. This thesis has been developed with an emphasis on market exchange. Everyday life is, however, predominantly shaped by interactions in the workplace rather than by shopping behaviour. This...

Based on the current European discussion about immigration policy, this paper gives an overview of central economic consequences of immigration for a host country?s labor market. The most important theoretical arguments are presented and evaluated against the available empirical evidence. The...

We estimate a Dynamic Programming model of the decision between continuing schooling or entering the labor market using a panel from the National Longitudinal Survey (NLSY). The model, set in an expected utility framework (with a power utility function), fits data on both schooling attainments...

Empirical research on the determinants of international migration including the LDCs has so far neglected one important issue: the complex relationship of development and migration. Since the beginning of the 1990s several arguments have been discussed which hint at the possibility that progress...

This paper applies the familiar theoretical distinction between general and specific training to the empirical task of estimating the returns to in-company training. Using a firm-level dataset which distinguishes between general and specific training, we test for the relative effects of the two...