Political violence is a worldwide problem that has been on the rise over the past decade. The international dimension of domestic repression and dissent is a particularly relevant factor yet surprisingly understudied. In particular, governments that heavily depend on foreign aid may crack down...

We present a theoretical explanation of the gender wage gap which turns on the interaction between men and women in households. In equilibria where men are over-represented in fulltime work, we show that firms rationally choose to hire women only at strictly lower wages than men. The model...

This paper presents a new theory of gender discrimination in competitive labour markets which does not rely on any inherent gender asymmetries. Women and men are organized into households with each having identical household specific human capital. When labour market characteristics (effort,...

We develop a Shumpeterian theory of business cycles that relates job creation, job destruction and wages over the cycle to the processes of firm restructuring, innovation and implementation that drive long-run growth. Due to incentive problems, production workers are employed via relational...

We develop a model of "intrinsic" business cycles, driven by the decentralized behaviour of entrepreneurs and firms making continuous, divisible improvements in their productivity. We show how equilibrium cycles, associated with strategic delays in implementation and endogenous innovation, arise...

We use a Schumpeterian model in which both the economy's growth rate and its volatility are endogenously determined to assess some welfare and policy implications associated with business cycle fluctuations. Because it features a higher average growth rate than its acyclical counterpart,...

Recent empirical work finds that R&D expenditures are quite procyclical, even for firms that are not redit-constrained during downturns. This has been taken as strong evidence against Schumpeterian-style theories of business cycles that emphasize the idea that downturns in production may be good...

In recent years, microfinance institutions have expanded into group lending with individual liability, leaving out the joint liability clause which was an important feature in earlier lending contracts. Recent experimental evidence indicates that group lending may yield benefits, specifically...

This paper analyzes the possibility of investment coordination leading to outcomes which dominate non-investment equilibria in the presence of monopolistic competition. We establish when complementarity leads to investment coordination failures and explore the welfare implications of coordinated...

This paper is intended to bridge the theoretical literature describing efficient intra-household behaviour and the development literature that collects empirical regularities pointing toward the existence of strategic decision-making among spouses. It examines the key elements of the collective...