Showing 1 - 10 of 21
dimensions: their skills and their values of non-market activities. Search-matching frictions on the labor markets create … unemployment. Wages, labor demand and participation are endogenous. The government only observes wage levels. Under a Maximin … general utilitarian objective. Taking account of the wage-cum-labor demand margin deeply changes the equity-efficiency trade …
Persistent link: https://www.econbiz.de/10003771876
In this paper, I introduce money in the standard labor-matching model (Mortensen and Pissarides 1999, Pissarides 2000 …
Persistent link: https://www.econbiz.de/10003344604
Because of Time Inconsistency considerations, policymakers underestimate the drawbacks of wage rigidity as a redistributive tool. Consequently, they redistribute inefficiently income from high to low skilled workers. They typically implement too much wage rigidity whereas other means (in...
Persistent link: https://www.econbiz.de/10003316484
conjunction with an optimized nonlinear income tax. We consider this issue in a framework where search frictions on the labor …
Persistent link: https://www.econbiz.de/10003603595
This paper builds a macroeconomic model of equilibrium unemployment in which firms persistently face difficulties in selling their production and this affects their decisions to create jobs. Due to search-frictions on the product market, equilibrium unemployment is a U-shaped function of the...
Persistent link: https://www.econbiz.de/10003578815
, agents are endowed with different skill levels and labor markets are perfectly segmented by skill. The government only … observes negotiated wages. More progressive taxation leads to wage moderation that boosts labor demand. We design the optimal … nonlinear redistributive tax schedule in the absence of welfare benefits and extensive labor supply margin. Compared to their …
Persistent link: https://www.econbiz.de/10003944297
This paper characterizes optimal income taxation when individuals respond along both the intensive and extensive margins. Individuals are heterogeneous across two dimensions: specifically, their skill and disutility of participation. Preferences over consumption and work effort can differ with...
Persistent link: https://www.econbiz.de/10003944646
In this paper we argue that, for a given overall level of labour income taxation, a more progressive tax schedule increases employment. From a theoretical point of view, higher progressivity increases overall employment through a wage moderating effect and also because employment of low-paid...
Persistent link: https://www.econbiz.de/10010379335
, extending the Diamond-Saez formula. The theory and numerical simulations on the US case show that the level and the slope of the …
Persistent link: https://www.econbiz.de/10010195415
Cultural diversity is a complex and multi-faceted concept. Commonly used quantitative measures of the spatial distribution of culturally-defined groups – such as segregation, isolation or concentration indexes - are often only capable of identifying just one aspect of this distribution. The...
Persistent link: https://www.econbiz.de/10010369838