This paper examines interactions between wage bargaining, unemployment, and growth. In the basic model, wage bargaining determines unemployment and is not influenced by growth. An increase in unemployment benefits increases unemployment and reduces capital accumulation. In a neoclassical...

This paper explores the effect of social capital on mobility, and the role of mobility in the decision to invest in social capital. At the end of a period, in which individuals work and invest in regionally immobile social capital, there may be an income shock. Given a negative shock,...