Climate negotiations have largely failed, so a change of course is required. This requires that a sizable group of experts recommend a small, clear set of policy guideposts that lead to a more cooperative treaty. This papers proposes a set of three guideposts and derives them from an analysis of...

According to the Globalization Paradox, globalization limits the freedom of choice for national governments. Capital mobility in particular induces tax competition, thus putting downward pressure on capital taxes. However, while capital mobility introduces the inefficiency of tax competition, it...

When confronted with market weaknesses and failures determining sustainability problems for environmental common-pool resources, economic analysis has proposed government intervention as the only alternative available. Elinor Ostrom showed that this dichotomy between market and government is not...

This paper theoretically and empirically analyzes the interaction of emigration of highly skilled labor, an economy's income gap to potential host economies of expatriates, and optimal public infrastructure investment. In a model with endogenous education and Ramp;D investment decisions we show...

We analyze public investment in basic research in a multi-country, multi-industry environment with international trade. In our economy, basic research generates ideas which private firms take up in applied research to develop new varieties. Such development requires industry-specific know-how. A...

After the introduction of a nationwide Unified Payment Interface (UPI) in 2016, India has become one of the world's leading economies for cashless transactions. We exploit the heterogeneity in the intensity of the adoption of digital payments across districts to show that the household income...

Questions of burden sharing receive increasing attention in the climate change regime. This paper introduces the WESA-mechanism (WESA = Walrasian Equilibrium with the Stand Alone upper bound) for the fair division of common property resources and monetary compensations. Furthermore, the...

Both theoretical and empirical studies have shown that democracy and corruption have substantial influence on environmental policy. In this paper, we empirically analyse whether both democracy and corruption are equally important determinants. When these variables are jointly included as...

What does global trade mean for the environment of any particular place? It can produce place-based transformations that are both positive and negative. The Kuznets curve is often touted as a solution that resolves the conflict between trade promotion and environmental protection by purporting...

The paper studies the effect of additional government revenues on political corruption and on the quality of politicians, both with theory and data. The theory is based on a version of the career concerns model of political agency with endogenous entry of political candidates. The evidence...