How do government-supplied institutional benefits and the taxation and regulation of produc- ers affect the propensity of private firms to enter the unofficial economy and evade taxation? We propose a model in which the ...

Switching costs are costs that customers face when switching from one firm to another. In markets such as the airline market where repeated purchases are common, switching costs may be substantial. In this paper we ...

It is a widespread belief that multinationals are exploiting their market power in national coffee markets by keeping consumer prices too high and thereby limiting demand for coffee beans. The purpose of this study is to ...

This paper reports results from an economic experiment where respondents are asked to make choices between risky outcomes for themselves and others. In addition, we elicit information about the respondents’ perception of ...

I show how the problems with zero and negative values in decomposition can in principle be resolved by avoiding ill-defined mathematical operations used to derive the decomposition formulae (division by zero and taking ...

A number of competing social preference models have been developed inspired by the evidence from economic experiments. We test the relative performance of some of these models using an experimental design that is aimed at ...

Most studies of the relation between economic freedom and growth of GDP have found a positive relation. One problem in this area is the choice of economic freedom measure. A single measure does notreflect the complex ...

The pension system in Sweden underwent a dramatic change during the 1990s. Replacing the traditional welfare model of a more or less collective solution for all Swedes, an individual-focused pension model was launched ...

The process of labour market transformation in the 1990s attracted a lot of attention from economists and policy makers. Unprecedented changes, like rapid reforms in Central and Eastern Europe and later the expansion of ...

Empirical evidence suggests that people’s maximum willingness to pay for having a good is often substantially lower than their minimum willingness to accept not having it, and that this discrepancy tends to be especially ...