Brown, Alessio J. G.; Merkl, Christian; Snower, Dennis J. - Forschungsinstitut zur Zukunft der Arbeit <Bonn> - 2007
the payment of tax-financed unemployment benefits to those who are jobless -
is generally due to policy makers’ attempt to … "diminishing returns," in the sense that equal incremental increases in each employment
subsidy leads to progressively smaller …
Furthermore, many empirical studies reject the hypothesis of constant returns to scale (e.g. Warren (1996)
for the United States …