Publications

Globalization, high growth rates in high-tech industries, growing emerging markets and harmonization of patent institutions across countries have stimulated patenting in foreign markets. We use a simp…

We introduce a criterion for robustness to strategic uncertainty in games with continuum strategy sets. We model a player’s uncertainty about another player’s strategy as an atomless probability distr…

Stimulating entrepreneurship is high on the policy agenda of many countries. We study the effects of tax policies on entrepreneurs' choice of riskiness (or quality) of an innovation project, and on th…

Abstract We study the evolution of modern Swedish wealth taxation from its introduction in**1911 until it was abolished in 2007. The rules concerning valuation of assets, deductions/exemptions and tax…

During the last decades, we have witnessed a large number of entrepreneurial firms that reach the world market at a fast pace (‘born global firms’). Our analysis suggests that the ongoing globalisatio…

One of the most cited studies within the field of binary choice models is that of Klein and Spady (1993), in which the authors propose a semiparametric estimator for use when the distribution of the er…

When commenting on the European radical right, the term ‘single-issue party’ is frequently bandied about. We survey the various conceptualizations of the term and then apply them to the Sweden Democra…

This paper uses panel data on bilateral FDI stocks in the European Union to empirically analyze the impact of labor and corporate taxations on FDI decisions. While the effect of corporate taxes on FDI…

The most common reason for scrapping a wind turbine in Denmark is to make room for a newer turbine. The decision to scrap a wind turbine is then highly dependent on an opportunity cost that comes from…

We examine how interaction choices depend on the interplay of social and physical distance, and show that agents who are more central in the social network, or are located closer to the geographic cen…

This study contributes to the debate concerning the appropriate role of multilateral environmental agreements (MEAs) in WTO dispute settlement. It seeks to address this relationship in light of the re…

Does rainfall during the Election Day reduce voter turnout? Previous research shows that in the US one inch of rain reduces turnout with about one percentage point. We turn to the Swedish context in o…

Entrepreneurship policy mainly aims to promote innovative Schumpeterian entrepreneurship. However, the rate of entrepreneurship is commonly proxied using quantity-based metrics, such as small business…

This article analyzes a rich Swedish data set with information on the electoral turnout of a large sample of adoptees, their siblings, their adoptive parents, and their biological parents. We use a si…

Political campaigns employ complex strategies to persuade voters to support them. We analyse the contributions of elements of these strategies using data from a field experiment that randomly assigned…

We revisit the question how inward FDI and multinational ownership affect relative labor demand. Motivated by the recent literature that distinguish between skills and tasks, we argue that the impact…

This paper uses data from Forbes Magazine’s list of billionaires, supplemented with other publicly available information, to study the migratory behavior of the very rich. Billionaires are more likely…

The Nordic countries are known for their well-functioning public administrations. In indices measuring control of corruption and the quality of the rule of law, they frequently occupy top positions. H…

This article examines power issues for the ADF and four break models (Perron, 1989; Zivot and Andrews, 1992) when the DGP corresponds to one of the break models. Choosing to test an incorrect break mo…

While baseline testosterone has recently been implicated in risk-taking in men, less is known about the effects of changing levels of testosterone on financial risk. Here we attempt to influence testost…

The aim of this article is to explore the structure of cities as a function of labor differentiation, gains to trade, a fixed cost for constructing the transportation network, a variable cost of commo…

This article investigates whether public funds should support R&D and if so, how such support should be designed in order to be efficient and to comply with the legal requirements stated in EU law…

This paper finds evidence that more democratic political institutions increase trust. Second generation immigrants with ancestries from 115 countries are studied within 30 European countries. Comparin…

Twins-based estimates of the return to schooling have featured prominently in the economics of education literature. Their unbiasedness hinges critically on the assumption that within-pair variation i…

In response to high and enduring youth unemployment, large payroll tax cuts for young workers were implemented in two Swedish reforms in 2007 and 2009. This paper analyses the effects of the reforms o…

Economic growth necessitates extensive churning and restructuring, the bulk of which is about shifts from less to more successful firms within the same industry. Labor market institutions favoring rea…

This paper provides micro-level evidence on the relationship between labor market conditions and social insurance participation among Chinese industrial firms. I find that the increased scarcity of la…

Research on entrepreneurship has flourished in recent years and is evolving rapidly. This article explores the history of entrepreneurship research, how the research domain has evolved, and its curren…

In this paper we treat an individual’s health as a continuous variable, in contrast to the traditional literature on income insurance, where it is assumed that the individual is either able or unable…

This study examines globalization of monitoring practices by focusing on how American (U.S.) influences on European firms impact the dismissal risk for these firms’ CEOs. Specifically, we argue that t…

I study the internal organization of firms using Swedish occupation data. The empirical patterns match the theoretical predictions of Caliendo and Rossi-Hansberg (2012) and are similar to the patterns…

According to the ‘law of dispersion’, the level of inequality in political participation is higher when voter turnout is low. We empirically test this hypothesis by evaluating levels of voter turnout…

The People's Republic of China (PRC) is currently promoting indigenous technology development through support of Chinese firms and, arguably, by restricting operations of foreign multinational firms.…

We model patent-signaling by informed venture capitalists to incumbent acquirers of developed innovations. We show that, to signal, venture capitalists develop more patents with higher impact than inc…

This paper experimentally investigates free-riding behavior on communication cost in a coordination game and finds strong indications of such free-riding. Firstly, the subjects wait for others to send…

Theoretically, there are several reasons to expect education to have a positive effect on health. Empirical research suggests that education can be an important health determinant. However, it has not…

The literature on trade facilitation has mostly focused on implications for trade volumes. However, recent theoretical contributions have emphasized that trade costs – such as transaction costs relate…

The performance of new firms is important for economic development but research has produced limited knowledge about the key relationships among growth, profitability, and survival for new firms. Based o…

Many developing countries would like to increase employment in the formal sectors. One way to accomplish this goal may be to encourage the entrance of foreign firms. We examine employment growth in In…

Most government bureaucracies in developed countries use civil service systems. What accounts for their adoption? We develop and test a model of bureaucratic reforms under repeated partisan competitio…

Green certificates are the main instrument for promoting renewable electricity (RES-E) in Sweden. But certificates cover only a limited share of total RES-E production. Under partial coverage, crowding…

In most electricity markets generators must submit step-function offers to a uniform price auction. These markets are often modelled as simpler pure-strategy Supply Function Equilibria (SFE) with cont…

Despite the central role played by human capital in entrepreneurship, little is known about how employees in entrepreneurial firms are compensated and incentivized. We address this gap in the literatu…

Social and cultural determinants of economic institutions and outcomes have come to the forefront of economic research. We introduce religiosity, measured as the share for which religion is important…

Given the intensive and ideologically charged debate over the use of private contractors for publicly funded services, it is somewhat surprising that many social scientists have preferred to explain g…

This article provides an empirical analysis of the impact of tax differentials and agglomeration economies on Foreign Direct Investment (FDI). The article departs from most previous work on FDI and ta…

This paper models the interaction between individuals’ identity choices and redistribution. Both redistributive policies and identity choices are endogenous, and there might be multiple equilibria. Th…

Large segments of the rural Timorese population survive on subsistence farming characterized by simple production methods and low output. Broad-based improvements in Timorese living standards require…

Tolerance has the potential to affect both economic growth and wellbeing. It is therefore important to discern its determinants. We contribute to the literature by investigating whether the degree to…

The theory of the firm suggests that firms can respond to poor contract enforcement by vertically integrating their production process. The purpose of this paper is to examine whether firms' integration…

I apply a survival model to a detailed data set of Swedish patents to estimate how different financing factors affect the likelihood of patent renewal. Since the owners know more about the patents tha…

The aim of this paper is to provide a new mechanism based on social interactions, explaining why distance to jobs can have a negative impact on workers’ labor-market outcomes, especially ethnic minori…

We introduce the concept of an offer distribution function to analyze randomized offer curves in multiunit procurement auctions. We characterize mixed-strategy Nash equilibria for pay-as-bid auctions…

This paper considers two multi-item auction formats (ascending and sealed bid) which both identify the minimum Walrasian equilibrium prices and where truthful preference revelation constitutes an equi…

We consider a model of international migration where skills of workers are imperfectly observed by firms in the host country and where information asymmetries are more severe for immigrants than for na…

This paper investigates the effects of political representation on electoral outcomes at the party and coalition levels in proportional election systems using data from Swedish local government electi…

In single-equation tests, real exchange rates show mean reversion for nine of 10 Central and Eastern European transition countries for the period January 1993 to December 2005. Because of the shift fr…

Existing studies of entrepreneurship focus on entrepreneurs whose individual contribution to wealth creation is typically trivial: self-employed persons. This article investigates entrepreneurs whose…

The purpose of the research endeavor published in this Special Section is to further our understanding of the extent, character, and orientation of entrepreneurial activity in today’s wealthy countrie…

This article makes use of individual data from 2004 to 2008 on owners of closely held businesses in Sweden to estimate the role of both tax and non-tax determinants in the choice to be a closely held…

This article analyzes how institutional differences affect university entrepreneurship. We focus on ownership of faculty inventions, and compare two institutional regimes, the United States and Sweden…

This article examines the interaction between intellectual property protection and competition policy on the choice of entrepreneurs with respect to commercialization as well as the rate of innovation…

We survey the literature on venture capital and institutions and present a case study comparing the development of the venture capital market in the United States and Sweden. Our literature survey und…

It is well established within both the economics and power system engineering literature that hydropower can act as a complement to large amounts of intermittent energy. In particular hydropower can a…

Exploiting the exogenous variation in user fees caused by a Swedish childcare reform, we are able to identify the causal effect of childcare costs on fertility in a context in which childcare enrollme…

This study investigates the internationalization of corporate boards, using a sample of 346 non-financial listed Nordic firms during 2001–2008. Given a high level of international activity, these firm…

This paper evaluates the effects of a major Swedish school choice reform. The reform in 1992 increased school choice and competition among public schools and led to a large-scale introduction of publi…

Theories of taste-based discrimination predict that competitive pressures will drive discriminatory behavior out of the market. The authors analyze how firm takeovers and product market competition af…

The article argues that focusing only on disputes formally raised in the World Trade Organization (WTO) Dispute Settlement system underestimates the extent of trade conflict resolution within the WTO.…

Over their lifetime, approximately 10% of all women become victims of postseparation stalking or assault. We use a nationally representative survey of separated Swedish women to examine whether men wh…

The objective of this paper is to study when and how much labor and capital income of heirs respond to inheritances. We estimate fixed effects models following direct heirs, inheriting in 2004, during…

In this comment we address a reply to our paper Economides and Tåg (2012) by Caves (2012). Based on data on content providers’ and ISPs’ profits in an oligopolistic market in the US, Caves attempts to…

We present a model that warns against a mechanical comparison of pre- and postmerger prices. The starting point of the article is that both the seller and the buyer take into account how the acquisiti…

The recent literature on the duration of trade has predominantly analyzed the determinants of trade flow durations using Cox proportional hazards models. The purpose of this article is to show why it…

This paper explores the relationship between residential proximity of individuals from the same ethnic group and the probability of finding a job through social networks, relative to other search metho…

This paper consists in three parts. The first part deals with theory. We evaluate the pros and cons of government involvement in urban housing and of renting versus ownership. In the second part, we su…

Cognitive dissonance theory predicts that the act of voting makes people more positive toward the party or candidate they have voted for. Following Mullainathan and Washington (Am. Econ. J. Appl. Econ…

This article studies gubernatorial midterm slumps in U.S. state legislative elections. We employ a regression discontinuity design, which allows us to rule out the hypothesis that the midterm slump si…

We provide a model that explains the following empirical observations: (i) private ownership is more efficient than public ownership, (ii) privatizations are associated with increases in efficiency, a…

As we celebrate the 50th anniversary of the publication of The Calculus of Consent (Buchanan and Tullock 1962; henceforth denoted CofC), I will dwell on some ways in which it relates to Sweden. At fir…

This study analyzes leading research in behavioral economics to see whether it contains advocacy of paternalism and whether it addresses the potential cognitive limitations and biases of the policymak…

How should the world economy adapt to the increased demand for exhaustible resources from countries like China and India? To address that issue, this paper presents a dynamic model of the world econom…

Realized capital gains are typically disregarded in the study of income inequality. We show that in the case of Sweden this severely underestimates the actual increase in inequality and, in particular…

Workers can have good or bad work habits. These traits are transmitted from one generation to the next through a learning and imitation process, which depends on parents’ investment in the trait and t…

The capacity of the transmission network determines the extent of integration of a multi-national energy market. Cross-border externalities render coordination of network capacity valuable. Is it then…

The aim of this paper is to investigate whether return migrants are more likely to become entrepreneurs than non-migrants. We develop a theoretical search model that puts forward the trade off faced b…

Since the sinking of the Titanic, there has been a widespread belief that the social norm of “women and children first” (WCF) gives women a survival advantage over men in maritime disasters, and that…

In R&D intensive industries, governments promote greenfield foreign investments, while being sceptical towards foreign acquisitions of domestic high-quality firms. We develop a theoretical model t…

This paper analyzes the importance of liquidity in determining security returns for firms listed on the Stockholm Stock Exchange between 1901 and 1919. Using a new and detailed firm-level data set wit…

This paper investigates hypotheses related to efficiency and price uniformity in online competing auctions based on two theoretical predictions from Peters and Severinov [Peters, M., Severinov, S., 20…

Recent empirical evidence shows that cartels are often asymmetric, while cartel theory suggests that firm symmetry is conducive to collusion. Including an indivisible cost of cartelization, we show th…

Does tax policy affect the rate of selfemployment in a modern welfare state? This question is analyzed empirically based on Swedish data for the entire postwar period. Available tax data indicate that…

We study the effects of institutional instability on growth. Using principal components analysis, we construct measures of institutional quality and instability from the political risk index of the In…

This article reports results from an experiment studying how FINES, LENIENCY, and REWARDS for whistleblowers affect cartel formation and prices. Antitrust without LENIENCY reduces cartel formation but…

This paper presents new evidence on intergenerational mobility at the top of the income and earnings distributions. Using a large dataset of matched father-son pairs in Sweden, we find that intergenera…

We discuss network neutrality regulation of the Internet in the context of a two-sided market model. Platforms sell broadband Internet access services to residential consumers and may set fees to cont…

The gender gap in earnings is analyzed using data for 250,000 Chinese industrial firms in 2004. The skill-weighted gender wage is estimated to be 12 percent and stems entirely from the female wage dis…