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We use unique plant-level data to study the link between the local availability of services and the decision of manufacturing firms to source materials from abroad. To guide our empirical analysis we develop a monopolistic-competition model of the materials sourcing decisions of heterogeneous...
Persistent link: https://www.econbiz.de/10003937886
Previous experiments observe a chain of unkindness: unkindly treated people treat an innocent third party unkindly. As a remedy, it has been proposed that the unkindly treated person engages in emotional regulation by writing a letter to the unkind person. Indeed, subjects who received little...
Persistent link: https://www.econbiz.de/10012201519
This paper examines the effects of increasing marginal tax rates on labour supply in a setting in which workers may hold two jobs and may be constrained in their weekly hours on their main jobs. A panel data, multi-equation labour supply model is estimated with correction for tax system...
Persistent link: https://www.econbiz.de/10012199088
Persistent link: https://www.econbiz.de/10001784172
Several theoretical contributions, starting with McElroy and Horney (1981) and Manser and Brown (1980), have suggested to model household behavior as a Nash-bargaining game. Since then, very few attempts have been made to operationalize cooperative models of household labor supply for policy...
Persistent link: https://www.econbiz.de/10002597682
Persistent link: https://www.econbiz.de/10001908068
How much does society value redistribution? The common method to derive inverse-optimum welfare weights is by inverting an optimal-tax model. Our alternative imposes fewer restrictions on labor supply and enables comparisons across household types. We use a structural labor supply model to...
Persistent link: https://www.econbiz.de/10015162768
Most econometric models of intrahousehold behavior assume that household decision-making is efficient, i.e., utility realizations lie on the Pareto frontier. In this paper we investigate this claim by adding a number of participation constraints to the household allocation problem. Short-run...
Persistent link: https://www.econbiz.de/10003894480
We analyze the role of risk-sharing institutions in transitions to modern economies. Transitions requires individual-level risk-taking in pursuing productivity-enhancing activities including using and developing new knowledge. Individual-level, idiosyncratic risk implies that distinct...
Persistent link: https://www.econbiz.de/10009235154
-time jobs). The most common use of these models is the simulation of tax-transfer reforms. The simulation is usually interpreted … simulation procedure, however, typically keeps fixed the estimated alternative-specific constants. In this note we argue that … development of a simulation procedure consistent with the comparative static interpretation. The procedure is illustrated with an …
Persistent link: https://www.econbiz.de/10009154578