Studies in Regional Science
Online ISSN : 1880-6465
Print ISSN : 0287-6256
ISSN-L : 0287-6256
Articles
Clarke Tax and Equilibrium Unemployment
Ryushi HOMMA
Author information
JOURNAL FREE ACCESS

2005 Volume 35 Issue 1 Pages 103-111

Details
Abstract
This paper presents a two-sector model of search-generated unemployment with the public sector. When the goal equilibrium of the production sector that makes two goods and the goal equilibrium of the government sector are inconsistent, the economy specializes in production. Matching technologies and the surplus-sharing rule jointly determine whether the inconsistency arises. The paper also suggests a way that the Clarke tax will make a matching function endogenous.
JEL classification : F10, H40
Content from these authors
© 2005 by The Japan Section of the Regional Science Association International
Previous article Next article
feedback
Top