cannot buy happiness? I argue that the solution to this 'paradox of happiness' can be provided by including in the theory a … tertium movens of growth: negative externalities. These externalities can be of two kinds. The first are positional … externalities, i.e. those due the fact that individuals may be interested in relative not absolute position. The second kind of …

This paper considers the impact of leisure preference and leisure externalities on growth and labor supply in a Lucas …‐static exercises. We find that small differences in preferences toward leisure or in leisure externalities can generate substantial …

Externalities play a central role in most theories of economic growth. We argue that international externalities, in … have international knowledge externalities. When calibrated, the hybrid model does a surprisingly good job of generating …