and output observed in the data. In this paper, we incorporate labor-leisure externalities into a standard model, as …

This chapter examines the e¤ect of leisure externalities on the ap- pearance of local indeterminacy in a two …-fulilling expectations less likely. In other terms, the second-period inelastic labor supply acts as a stabilizing force while leisure … externalities act as a destabilizing force. The analytical findings are complemented by economic interpretations. …

This paper considers the impact of leisure preference and leisure externalities on growth and labor supply in a Lucas …-static exercises. We find that small differences in preferences toward leisure or in leisure externalities can generate substantial …

This paper considers leisure externalities in a Lucas (1988) type model in which physical and human capital are …

, and hence are sub-optimal from a welfare standpoint. Second, a myopic intervention which overlooks consumption and leisure … externalities leads to more growth and labor than in both the decentralized and the fully informed regime. Third, we provide a case …