This paper analyses the link between public education expenditure and human capital inequality. I build a model of human capital formation where government intervention in education is justified by the existence of credit constraints. The framework provides conditions on the level of economic...

This paper studies the impact of immigration on public education expenditures in EU-15 countries. Identification comes from the use of the 1990s Balkan wars (in Bosnia and Kosovo) as a source of exogenous variation in immigrant inflows to mitigate a possible Tiebout-type bias from endogenous...

Using the data on a panel of quoted UK firms over the period 1995-2002, this paper studies the effects of financial leverage on managerial compensation. The change in the investors' expectations that caused the recent collapse of the stock market tech bubble has been used as a source of...