The number of charges against users and dealers of illegal drugs in Switzerland has risen substantially since 1990. Within 4 years, charges related to consumption only have increased by a factor of 2.5 and those related to dealing only by a factor of 3.2. Using a generalized Poisson approach and...

Crowding-Theory introduces a new psychological effect into economics. Under identifiable conditions, a higher price or stricter regulation reduces the intrinsic motivation to perform a task. Crowding-Out is the only effect which systematically works in the opposite direction to the Relative...

We collect trading and ownership statistics for U.S. stocks between 1970 and 1989 and we study the cross-section of returns. In rational and frictionless markets, equity returns should not depend on asset turnover nor should they depend on owner identity. Yet, with market imperfections, crowd...

The empirical results obtained in this study suggest that, in the United States, a rise in the real long-term rate of interest elicits a rise in the federal government budget deficit. This impact of the real long-term interest rate appears to arise because of the negative effect that higher real...

Die Replik räumt eine Reihe von Missverständnissen aus. Sie verteidigt das ökonomisches Argumentieren auf der Grundlage der Inzidenzanalyse gegenüber einer ökonomischen Intuition, die sich ausschliesslich auf die Theorie der optimalen Besteuerung stützt. Sie begrüsst den Beitrag von...

Traditionally, the literature on seigniorage has mentioned different concepts of measuring seigniorage, most prominently the monetary concept and the opportunity cost concept. The relationship between different concepts of seigniorage has never been settled clearly. This paper discusses...

We use a general equilibrium framework with training costs to characterize a special economic zone which uses foreign capital and local labor. Competitive equilibrium without government intervention leads to "overflow" of local labor in the foreign enclave. A sector-specific wage tax implements...

Three issues are addressed: (1) Can Rational Choice Theory (RCT) explain rule-governed behavior? (2) Are norms explanatory factors for behavior or are norms only invoked as rationalization after the behavior has been performed for non-normative reasons? (3) What role do norms play in explaining...

Social Norms are a pervasive phenomenon in social and economic life. They have important economic consequences and constitute powerful social constraints on individual behaviour beyond the legal constraints and the market constraints usually considered by economists. This paper presents a simple...

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