Martin Andersson, Johan P Larsson and Özge Öner
We explore the effects of neighborhood-level ethnic enclaves on the propensity of immigrants to use business ownership as a vehicle to transcend from labor market outsiders to insiders. We exploit an exogenously partitioned grid of geocoded…
Christian Bjørnskov
This paper starts with the observation that almost all military dictatorships that democratize become presidential democracies. I hypothesize that military interests are able to coordinate on status-preserving institutional change prior to democratization…
Keith Ruddell, Tony Downward and Andy Philpott
We construct a model of strategic behavior in sequential markets which exhibits a persistent forward price premium. On the spot market, producers wield market power while purchasers are price takers.
Producers with forward commitments have less…
Jung Sung Kim, Eleonora Patacchini, Pierre M. Picard and Yves Zenou
This paper studies social-tie formation when individuals care about the geographical location of other individuals. In our model, the intensity of social interactions can be chosen at the same time as friends. We characterize the equilibrium in terms of…
Erik Lundin and Thomas Tangerås
Horizontal shifts in bid curves observed in wholesale electricity markets are consistent with Cournot competition. Quantity competition reduces the informational requirements associated with evaluating market performance because the markups of all…
Bruce Hearn, Lars Oxelheim and Trond Randøy
We argue that the corporate governance of emerging economy IPO firms is influenced by firm-specific institutionally embedded block ownership groups. Applying an extended institutional logic perspective and using a mixed-effects ordered probit model, our…
Fredrik Heyman, Pehr-Johan Norbäck and Lars Persson
This paper examines employment and productivity dynamics in the Swedish business sector during the period 1996–2013. In order to analyze employment and productivity in a consistent way we apply a novel implementation of a method, which previously…
Sarah Cattan, Daniel A. Kamhofer, Martin Karlsson and Therese Nilsson
Instructional time is seen as an important determinant of school performance, but little is known about the effects of student absence. Combining historical records and administrative data for Swedish individuals born in the 1930s, we examine the impacts…
Jan Heufer and Per Hjertstrand
We propose a method to recover homothetic preferences from choice data with minor optimization or measurement errors. Our method allows for a more detailed graphical analysis to reveal subjects' preferences and to choose appropriate functional forms…
Pehr-Johan Norbäck, Lars Persson and Roger Svensson
When and how do entrepreneurs sell their inventions? To address this issue, we develop an endogenous entry-sale asymmetric information oligopoly model. We show that lowquality inventions are sold directly or used for own entry. Inventors who sell…
Colin A. Carter and Shon Ferguson
For about seventy years, the Canadian Wheat Board (CWB) was one of the world’s largest export “single desk” state traders in agriculture, until it was deregulated in 2012 and stripped of its marketing powers. One of the main crops…
Thomas Tangerås and Frank A. Wolak
We show that a common regulatory mandate in electricity markets that use location-based pricing that requires all customers to purchase their wholesale electricity at the same quantity-weighted average of the locational prices can increase the performance…
Joan Costa Font and Martin Ljunge
The association between occupational status and health has been taken to reveal the presence of health inequalities shaped by occupational status. However, that interpretation assumes no influence of health status in explaining occupational…
Linuz Aggeborn and Lovisa Persson
We build a public finance model that explains why voters vote for right-wing populists, and also under which conditions established politicians will adopt a right-wing populist policy platform. Voters with lower private income have a stronger demand for…
Mark Brown, Shon Ferguson and Crina Viju
We decompose the impact of trade reform on technology adoption and land use to study how aggregate changes were driven by reallocation versus within-farm adaptation. Using detailed census data covering over 30,000 farms in Alberta, Saskatchewan and…
Alexander W. Cappelen, Gary Charness, Mathias Ekström, Uri Gneezy and Bertil Tungodden
We report the results of a randomized controlled trial testing whether incentivizing physical exercise improves the academic performance of college students. As expected, the intervention increases physical activity.
The main result is that it…
Nina Boberg-Fazlić, Maryna Ivets, Martin Karlsson and Therese Nilsson
This paper studies the effect of the 1918–19 influenza pandemic on fertility using a historical dataset from Sweden. Our results suggest an immediate reduction in fertility driven by morbidity, and additional behavioral effects driven by…
Fridrik M. Baldursson, Ewa Lazarczyk, Marten Ovaere and Stef Proost
This paper develops a stylized model of cross-border balancing. We distinguish three degrees of cooperation: autarky, reserves exchange and reserves sharing. The model shows that TSO cooperation reduces costs. The gains of cooperation increase with cost…
Sonia Bhalotra, Martin Karlsson, Therese Nilsson and Nina Schwarz
We estimate impacts of exposure to an infant health intervention trialled in Sweden in the early 1930s using purposively digitised birth registers linked to school catalogues, census fies and tax records to generate longitudinal microdata that track…
Per Hjertstrand, Pehr-Johan Norbäck and Lars Persson
We fi
nd an inverted relation between a player's birthday and the likelihood of receiving the Ballon d'Or (awarded to the best football player in the world). We develop a multi-period skill formation model with selection into elite…
Niklas Kaunitz and Johan Egebark
The Swedish employer paid payroll tax was reduced substantially for young workers in 2007, causing firms’ average social fees to depend on the age structure of their employees. Using pre-reform conditions to define treated and control firms, we show…
Jannis Angelis, Anna Häger Glenngård and Henrik Jordahl
Using the World Management Survey method, we map and analyse management quality in Swedish primary care centres. On average, private providers have higher management quality than public ones. We also find that centres with a high overall social…
Niclas Berggren and Martin Ljunge
Religious beliefs and practices influence individual lives and societies in many ways. We study how religion affects self-assessed health, which in turn is important for both individual well-being and productivity. A religious background predicts worse…
Erik Lindgren, Per Pettersson-Lidbom and Björn Tyrefors
In this paper, we analyze how a suffrage reform in 1862/63 that shifted the de jure distribution of political power from landowners to industrialists affected Sweden’s industrialization and economic and social development from the 1860s to the…
Assar Lindbeck and Jörgen Weibull
In the political debate, lavish bonus schemes to managers in large corporations are often questioned on moral grounds as well as in terms of economic efficiency. Can high bonuses, sometimes even after ex post unprofitable decisions, be motivated from…
Magnus Henrekson and Tino Sanandaji
Cross-country comparisons of entrepreneurship are difficult due to the lack of standard empirical definitions of entrepreneurship. Measures focusing on small business activity and self-employment suggest that Europe has the same or higher rates of…
Fredrik Heyman, Pehr-Johan Norbäck and Lars Persson
Research show that women are disadvantaged in inflexible occupations. We show that this will imply that female managers are on average more skilled than male managers. Due to the higher hurdles faced by women, only the most skilled among them will pursue…
Magnus Henrekson and Tino Sanandaji
Europe continues to lag behind the U.S. in venture capital (VC) activity and in the creation of successful startups, and has recently been surpassed by China. This is despite the fact that many European countries have deep financial markets, strong legal…
Martin Andersson, Johan P Larsson and Joakim Wernberg
As cities increasingly become centers of economic growth and innovation, there is a need to understand their inner workings and organization in greater detail. We use ge-coded firm-level panel data at the sub-city level to assess the long-standing…
Olle Hammar and Daniel Waldenström
We estimate trends in global earnings dispersion across occupational groups using a new database covering 66 developed and developing countries between 1970 and 2015. Our main finding is that global earnings inequality has declined, primarily during the…
Björn Tyrefors and Joakim Jansson
Board room quotas have recently received an increasing amount of attention. This paper provides novel evidence on firm performance from an exogenous change in female board participation in Sweden. We use the credible threat, aimed at listed firms, of a…
Magnus Henrekson
By the late 1960s, real effective taxation of income from individual firm ownership in Sweden approached 100 percent. A series of tax reforms initiated in the late 1970s reversed this situation.
This paper has a threefold purpose:
(1) to…
Björn Tyrefors Hinnerich, Mårten Palme and Mikael Priks
According to Swedish penal code, there is a “rebate” on all prison sentences before the 21st birthday. We exploit this age discontinuity to investigate how individuals respond to harsher punishments. We use a large Swedish dataset, including…
Thomas Tangerås
An increasing reliance on solar and wind power has raised concern about system ability to consistently satisfy electricity demand. This paper examines countries unilateral incentives to achieve supply security through capacity reserves and market…
Enrico Rubolino and Daniel Waldenström
We study the link between tax progressivity and top income shares. Using variation from large-scale Western tax reforms in the 1980s and 1990s and the novel synthetic control method, we find large and lasting boosting impacts on top income shares from the…
Enrico Rubolino and Daniel Waldenström
We compile data spanning the period 1900–2014 and up to 30 countries to study long-run patterns in the tax elasticity of top incomes. Our results show that top tax elasticities vary tremendously over time; they were medium-to-low before 1950,…
Mathias Ekström
Christmas is when people are expected to act selflessly for the well-being of others, but are people actually more altruistic at this time of the year? Responding to this question poses a challenge because of the confounding factors of charitable tax…
Mario Blázquez de Paz
A successful transformation to a carbon neutral energy system requires the correct investments in transmission and production capacity. In a zonal pricing electricity market, the one proposed by the European Commission to integrate the European…
Aron Berg
The paper studies how stock price misvaluation and financial frictions affect whether an acquisition occurs between or within industries and whether the acquirer pays in cash or stocks. I set up a model where stock market misvaluation correlates within…
Niclas Berggren, Christian Bjørnskov and Therese Nilsson
While previous research examines how institutions matter for general life satisfaction and how specific institutions embodying equal rights for gay people matter for the life satisfaction of gays, we combine these two issues to analyze how the latter type…
Lina Ahlin, Martin Andersson and Per Thulin
Sorting of high-ability workers is a main source of urban-rural disparities in economic outcomes. Less is known about when such human capital sorting occurs and who it involves.
Using data on 15 cohorts of university graduates in Sweden, we demonstrate…
Åsa Lindholm-Dahlstrand, Martin Andersson and Bo Carlsson
There is a need for a conceptual approach that, with reference to explicit micro-level mechanisms and processes of industrial dynamics, articulates the role and function of entrepreneurial experimentation in innovation systems.
This paper develops the…
Niklas Elert and Magnus Henrekson
The interplay between entrepreneurship and institutions is crucial for economic development; however, the view that institutions determine the extent to which entrepreneurial activity is productive is only part of the story.
We argue that causality is…
Niclas Berggren and Christian Bjørnskov
Social trust has been identified as a catalyst for reforms. We take the literature further in two ways.
First, we make a fine-grained analysis of mechanisms through which social trust enables liberalizing reforms – by strengthening the ability to…
Johan Wennström
Timothy Snyder has suggested an interpretive framework of the Holocaust that runs counter to previous scholarly literature as well as to popular perception. Snyder’s central thesis is that the mass murder of Europe’s Jewish population should…
Niklas Elert, Magnus Henrekson and Mikael Stenkula
It is imperative that the economies of the European Union become more entrepreneurial to promote innovation and economic growth.
To achieve these goals, we propose a reform strategy with respect to (i) the rule of law and the protection of property…
Ola Andersson, Håkan J. Holm and Erik Wengström
We conduct a contest experiment where participants can invest in increasing both the mean and the spread of an uncertain performance variable. Subjects are treated with different prize schemes and in accordance with theory we observe substantial…
Louise Johannesson and Petros C. Mavroidis
In this paper, we provide some descriptive statistics of the first twenty years of the WTO (World Trade Organization) dispute settlement. The database used in this paper was assembled by the authors and has been publicly available…