This paper analyzes growth and welfare effects of income taxation in a stochastic endogenous growth model with externalities in human-capital accumulation. The government participates in individual income risks by the collection of a flat-rate income tax that affects the mean and the variance of...

Nanotechnologies are expected to be the dominant general purpose technology of the next decades. Their market potential is immense and especially demand side arguments will have far reaching consequences for innovations. They may occur as increased miniaturization or via building completely new...