Coordination in collective wage setting can constrain potential monopoly gains to unions in non-traded-goods industries. Countries with national wage coordination can thus stabilize overall employment against fluctuations and shocks in the world economy. We test this theory by exploring...

Coordination in collective wage setting can constrain potential monopoly gains to unions in non-traded-goods industries. Countries with national wage coordination can thus stabilize overall employment against fluctuations and shocks in the world economy. We test this theory by exploring...

The financial trilemma states that financial stability, financial integration and national financial policies are incompatible. Any two of the three objectives can be combined but not all three; one has to give. This paper develops a model to underpin the financial trilemma. Our findings for...

In this paper, the authors analyze the behavior of local governments on capital taxation when the financial choices in terms of a public good quality are done by a central planner. More specifically, they ask the question whether a local government has an interest to tax the mobile factor in...

The combination of the challenges emerging from the 2020 pandemic outbreak, amid an unprecedented macroeconomic context, and a limited EU budget, inevitably call for reflections about synergies, or ‘vertical coherence', between EU and national budgets. The proposals for a larger EU budget, the...

Many local public goods are provided in coalitions. When coalitions form they may have the power to exclude members. The core applies to such cases. When coalitions cannot exclude members, all who prefer the provided public good can join. The no-exodus equilibrium is proposed for such cases. It...