We study the interaction between monetary and fiscal policies in a Ramsey-Sidrauski model augmented with environmental capital. Equilibrium solutions are studied through “Green Golden Rule”. Despite non-separability of money utility intertemporally non-separable preferences, is environmentally neutral. Policy impacts environment via marginal rate transformation rather than substitution consumpt...

This paper analyzes price elasticities in the Austrian market for mobile telecommunications services using data on firm specific tariffs. Both static and a dynamic panel data approaches lead to consistent results which provide evidence for a relatively elastic demand. Furthermore, some basic facts on the Austrian mobile telephone sector are presented. JEL-Classification: C23, L13, L96.

We present a new estimator for causal effects with panel data that builds on insights behind the widely used difference-in-differences and synthetic control methods. Relative to these methods we find, both theoretically empirically, this “synthetic difference-in-differences” has desirable robustness properties, it performs well in settings where conventional estimators are commonly practice. st...

In the Huh-7.5 hepatoma cell line, replication of the genotype 1a H77 strain of hepatitis C virus (HCV) is attenuated compared to that of the genotype 1b Con1 strain. This study identifies the poorly characterized integral membrane protein, NS4B, as a major determinant for this replication difference. Chimeric H77 subgenomic replicons containing the entire NS4B gene from Con1 in place of the H7...

Many countries shift substantial public resources across jurisdictions to mitigate spatial economic disparities. We use a general equilibrium model with multiple asymmetric regions, labor mobility, and costly trade carve out the aggregate implications of fiscal transfers. Calibrating for Germany, we find that transfers indeed deliver smaller disparities regions. This comes at cost lower nationa...

This paper derives consistent standard errors for a panel Tobit model in the presence of correlated errors. The problem is framed in the context of Newey and West (1987), considering the Tobit model as a special case of a GMM estimator. JEL codes: C23, C24

This study analyzes the existence of a complementary relationship between public and private spending on Research and Development activities. The results show that public funding does not produce a substitution effect on private spending. In fact, depending on the methodology used, public subsidies actually produce a crowding in effect of up to 49% on private spending. JEL: C23; L11;

This paper determines optimal public debt in a life cycle model with incomplete markets that matches the empirically observed variation consumption, labor, and savings. We find savings—not debt—equal to 168 percent of output is optimal, primarily due influence on household decision-making. By inducing lower interest rate, savings slow consumption leisure growth over an average household’s lifet...

This article examines evidence for the private rationality of decisions to choose bottled water using a large, nationally representative sample. Consumers are more likely to believe that bottled water is safer or tastes better if they have had adverse experiences with tap water or live in states with more prevalent violations of EPA water quality standards. Perceptions of superior safety, taste...

It seems to be a not uncommonly held view that intertemporal banking and borrowing of tradeable permits might tilt the ‘prices vs. quantities’debate towards looking relatively more favorably upon time-flexible quantities. The present paper shows that this view is incorrect for a natural dynamic extension of the original ‘prices vs. quantities’ information structure, which here allows the firms ...