A model of illicit, addictive drug use is proposed when users have foresight. Impacts of drug use penalties, penalties on drug use-related crime, support for drug user rehabilitation as well as the effects of health-related, harm-minimisation policies are analysed. In the short run, government...

Socially optimal pricing and investment decisions are analysed for a tollway that experiences competition from unpriced, congested roads. The resulting "second-best" problem has a simple qualitative structure: optimal tolls are set lower than they would be without the unpriced congestion. The...

A model of persisting labor and capital migrations is proposed which relies on capital installation adjustment costs. Labor and capital markets are supposed internationally integrated with free factor movements imposing a 'law of one price' on the gross return to each factor. The development of...