Publications

This article presents an equilibrium model of a dual labor market. Firms are assumed to be identical ex ante, and dualism arises endogenously. The dual labor market outcome is supported by efficiency…

In this paper we describe how restricted vector autoregressions can be employed to examine the sources of macroeconomic fluctuations. We show how cointegration restrictions can be used to identify a V…

When trade is heavily restricted, a small country may show a "false" comparative disadvantage in differentiated products at an early stage in the life cycle, because firms are confined to a small dome…

A new criterion for self-enforcement is developed which requires that every player's strategy should be at least locally ptimal at each of his information sets under some probabilistic hypothesis abou…

This paper examines the problem of non-existence of a single-wage equilibrium in a simple search model with asymmetric information. A pure-strategy, symmetric Nash equilibrium fails to exist because a…

We specify a two-sector general equilibrium model with fair wages and involuntary unemployment. In determining the fair wage, workers care not only about relative wages but also about the functional d…

How to transform a failed socialist economy raises questions about the processes of structural and institutional changes, which standard economics is inadequately equipped to study. An economic theory…

Produclivity measurement is considered in the context of incomplete output information. Only a value measure of output is assumed to be available, which is typical for many service industries. Input m…

This paper utilizes data from a Swedish household survey for 1984 (the HUS data) in combination with data on public child care fees and spaces per child by community. We argue that the subsidy rate an…

Migration flows in the integrated Nordic labor market are heavily dominated by Finnish migrationto Sweden.Differencesin migrationbehavioracrossthe Nordicpopulationsare identified. Elasticities of migr…

Leif Johansens short run macro production function is used to explore the conditions for a productivity slowdown to take place simultaneously with an accelerated technical change in production. A capa…