WorldCat Identities

Poutvaara, Panu

Works: 142 works in 451 publications in 2 languages and 1,364 library holdings
Roles: Author, dgs, Other
Publication Timeline
Most widely held works by Panu Poutvaara
Self-selection of emigrants theory and evidence on stochastic dominance in observable and unobservable characteristics by George J Borjas( )

9 editions published in 2015 in English and held by 48 WorldCat member libraries worldwide

We show that the Roy model has more precise predictions about the self-selection of migrants than previously realized. The same conditions that have been shown to result in positive or negative selection in terms of expected earnings also imply a stochastic dominance relationship between the earnings distributions of migrants and non-migrants. We use the Danish full population administrative data to test the predictions. We find strong evidence of positive self-selection of emigrants in terms of pre-emigration earnings: the income distribution for the migrants almost stochastically dominates the distribution for the non-migrants. This result is not driven by immigration policies in destination countries. Decomposing the self-selection in total earnings into self-selection in observable characteristics and self-selection in unobservable characteristics reveals that unobserved abilities play the dominant role
Immigration, search, and redistribution a quantitative assessment of native welfare by Michele Battisti( )

7 editions published in 2014 in English and held by 45 WorldCat member libraries worldwide

We study the effects of immigration on native welfare in a general equilibrium model featuring two skill types, search frictions, wage bargaining, and a redistributive welfare state. Our quantitative analysis suggests that, in all 20 countries studied, immigration attenuates the effects of search frictions. These gains tend to outweigh the welfare costs of redistribution. Immigration has increased native welfare in almost all countries. Both high-skilled and low-skilled natives benefit in two thirds of countries, contrary to what models without search frictions predict. Median total gains from migration are 1.19% and 1.00% for high and low skilled natives, respectively
Firms' ethics, consumer boycotts, and signalling by Amihai Glazer( )

10 editions published in 2008 in English and German and held by 38 WorldCat member libraries worldwide

This paper develops a theory of consumer boycotts. Some consumers care not only about the products they buy but also about whether the firm behaves ethically. Other consumers do not care about the behavior of the firm but yet may like to give the impression of being ethical consumers. Consequently, to affect a firm's ethical behavior, moral consumers refuse to buy from an unethical firm. Consumers who do not care about ethical behavior may join the boycott to (falsely) signal that they do care. In the firm's choice between ethical and unethical behavior, the optimality of mixed and pure strategies depends on the cost of behaving ethically. In particular, when the cost is (relatively) low, ethical behavior arises from a prisoners' dilemma as the firm's optimal strategy
Pareto-improving bequest taxation by Volker Grossmann( )

11 editions published between 2005 and 2006 in English and held by 34 WorldCat member libraries worldwide

Altruistic parents may transfer resources to their offspring by providing education, and by leaving bequests. We show that in the presence of wage taxation, a small bequest tax may improve efficiency in an overlapping-generations framework with only intended bequests, by enhancing incentives of parents to invest in their children's education. This result holds even if the wage tax rate is held constant when introducing bequest taxation. We also calculate an optimal mix of wage and bequest taxes with alternative parameter combinations. In all cases, the optimal wage tax rate is clearly higher than the optimal bequest tax rate, but the latter is generally positive when the required government revenue in the economy is sufficiently high
Outsourcing and labor taxation in dual labor markets by Erkki Koskela( )

9 editions published in 2008 in English and held by 34 WorldCat member libraries worldwide

We evaluate the effects of international outsourcing and labor taxation on wage formation and equilibrium unemployment in dual labor markets. Outsourcing promotes wage dispersion between the high-skilled and low-skilled workers. Higher domestic low-skilled wage tax, higher payroll tax and lower wage tax exemption increase optimal outsourcing. Outsourcing will reduce equilibrium unemployment of low-skilled workers both in the presence and absence of labor taxation. In the presence of outsourcing, wage tax, tax exemption and payroll tax have an ambiguous effect on equilibrium unemployment. Increasing the degree of tax progression decreases the wage rate and increases the demand of low-skilled workers
Flexible outsourcing and the impacts of labour taxation in European welfare states by Erkki Koskela( )

9 editions published in 2008 in English and German and held by 32 WorldCat member libraries worldwide

In European Welfare States, low-skilled workers are typically unionized, while the wage formation of high-skilled workers is more competitive. To focus on this aspect, we analyze how flexible international outsourcing and labour taxation affect wage formation, employment and welfare in dual domestic labour markets. Higher productivity of outsourcing, lower cost of outsourcing and lower factor price of outsourcing increase wage dispersion between the high-skilled and low-skilled workers. Increasing wage tax progression of lowskilled workers decreases the wage rate and increases the labour demand of low-skilled workers. It decreases the welfare of low-skilled workers and increases both the welfare of high-skilled workers and the profit of firms
School shootings and student performance by Panu Poutvaara( )

8 editions published in 2010 in English and German and held by 31 WorldCat member libraries worldwide

In this paper, we study how high school students reacted to the shocking news of a school shooting. The shooting coincided with national high-school matriculation exams. As there were exams both before and after the shooting, we can use a difference-in-differences analysis to uncover how the school shooting affected the test scores compared to previous years. We find that the average performance of young men declined due to the school shooting, whereas we do not observe a similar pattern for women
Does military draft discourage enrollment in higher education? evidence from OECD countries by Katarina Keller( )

6 editions published in 2009 in English and held by 29 WorldCat member libraries worldwide

Using data from 1960-2000 for OECD countries, we analyze the impact of compulsory military service on the demand for higher education, measured by students enrolled in tertiary education as a share of the working-age population. Based on a theoretical model, we hypothesize that military draft has a negative effect on education. Empirically, we confirm this for the existence of conscription, albeit usually at low statistical significance. However, the intensity of its enforcement, measured by the share of the labor force conscripted by the military and the duration of service, significantly reduces enrollment in higher education. -- conscription ; human capital
Social security incentives and human capital investment by Morten I Lau( Book )

6 editions published between 2001 and 2006 in English and held by 29 WorldCat member libraries worldwide

On the political economy of social security and public education by Panu Poutvaara( Book )

5 editions published between 2001 and 2004 in English and held by 24 WorldCat member libraries worldwide

This paper analyzes simultaneous voting on the wage tax rate and investment in public education with three overlapping generations and productivity differences inside each cohort. Wage tax revenue finances public education and social security benefits. The presence of productivity differences introduces a time-consistency problem with repeated voting. This can be solved by trigger strategies which do not punish upward deviations in the wage tax rate. If there are multiple equilibria, then higher tax rates are associated with more education. Surprisingly, the median voter may be a young citizen even when cohorts are of the same size
Selfish and prospective: theory and evidence of pocketbook voting by Mikael Elinder( )

6 editions published in 2008 in English and held by 23 WorldCat member libraries worldwide

We present and test a theory of prospective and retrospective pocketbook voting. Focusing on two large reforms in Sweden, we establish a causal chain from policies to sizeable individual gains and losses and then to voting. The Social Democrats proposed budget cuts affecting parents with young children before the 1994 election, but made generous promises to the same group before the 1998 election. Since parents with older children were largely unaffected we use a difference-in-differences strategy for identification. We find clear evidence of prospective pocketbook voting. Voters respond to campaign promises but not to the later implementation of the reforms. -- Elections ; Economic voting ; Pocketbook voting ; Self-interest ; Prospective voting ; Retrospective voting ; Child care
The right look : conservative politicians look better and their voters reward it by Niclas Berggren( )

5 editions published between 2010 and 2011 in English and German and held by 23 WorldCat member libraries worldwide

Previous research has established that good-looking political candidates win more votes. We extend this line of research by examining differences between parties on the left and on the right of the political spectrum. Our study combines data on personal votes in real elections with a web survey in which 2,513 non-Finnish respondents evaluated the facial appearance of 1,357 Finnish political candidates. We find that political candidates on the right are better looking in both municipal and parliamentary elections and that they have a larger beauty premium in municipal, but not in parliamentary, elections. As municipal candidates are relatively unknown, the beauty-premium gap indicates that voters - especially those to the right - use beauty as a cue for candidate ideology or quality in the municipal elections
Why to invest in your neighbor? : social contract on educational investment by Panu Poutvaara( Book )

8 editions published in 1999 in English and held by 23 WorldCat member libraries worldwide

Income taxes, property values, and migration by Amihai Glazer( Book )

10 editions published between 2003 and 2008 in English and held by 23 WorldCat member libraries worldwide

We consider taxation by a Leviathan government and by a utilitarian government in the presence of heterogeneous locations within a country, when migration from one country to another is and is not possible. In a closed economy, a utilitarian government may transfer income from the poor to the rich to reduce rents earned by absentee landlords. When the rich are mobile, a tax on them induces little migration because the tax will reduce the rents on land inhabited by the rich. A race to the bottom need not appear
To draft or not to draft? Efficiency, generational incidence, and political economy of military conscription by Panu Poutvaara( Book )

11 editions published between 2004 and 2005 in English and held by 22 WorldCat member libraries worldwide

We study the efficiency and distributional consequences of establishing and abolishing the draft in a dynamic model with overlapping generations, taking into account endogenous human capital formation as well as government budget constraints. The introduction of the draft initially benefits the older generation while harming the young and all future generations. Its Pareto-improving abolition requires levying age-dependent taxes on the young. These being infeasible, abolition of the draft would harm the old. The intergenerational incidence of the gains and losses from its introduction and abolition helps to explain the political allure of the draft
Initial luck, status seeking and snowballs lead to corporate success and failure : presented at CESIfo Area Conference on Industrial Organisation, March 2004 by Amihai Glazer( Book )

10 editions published in 2004 in English and held by 22 WorldCat member libraries worldwide

Corporate success stories often resemble a snowball. We show how initial luck in hiring talented people, the resulting technological advantage, superior corporate culture, and status-seeking by workers and by consumers can make small initial differences generate large differences over time
Candidate quality by Panu Poutvaara( Book )

8 editions published between 2003 and 2004 in English and held by 21 WorldCat member libraries worldwide

We analyze the topical question of how the compensation of elected politicians affects the set of citizens choosing to run. To this end, we develop a sparse and tractable citizen-candidate model of representative democracy with ability differences, informative campaigning and political parties. Our results suggest that primaries, campaign costs and rewards have previously overlooked interactions that should be studied in a unified framework. Surprisingly, increasing the reward may lower the average candidate quality when the campaigning costs are sufficiently high. The model accommodates a variety of extensions of which we study costly primaries, two-stage signalling, and ideological differences
Student flows and migration an empirical analysis by Axel Dreher( Book )

9 editions published in 2005 in English and held by 21 WorldCat member libraries worldwide

Using panel data for 78 countries of origin we examine the impact of student flows to the United States on subsequent migration there over the period 1971-2001. What we find is that the stock of foreign students is an important predictor of subsequent migration. This holds true whether or not the lagged endogenous variable is included. The relationship is robust to the inclusion of time and country dummies, and remains when we account for outliers. The basic results also hold for a cross section of 36 countries of origin and 9 host countries. Our results have important policy implications which we discuss in the last section
Social security incentives, human capital investment and mobility of labor by Panu Poutvaara( Book )

9 editions published in 2005 in English and held by 21 WorldCat member libraries worldwide

Migration between countries with earnings-related and flat-rate pay-as-you-go social security systems may change human capital investments in both countries. The possibility of emigration boosts investments in human capital in the country with flat-rate benefits. Correspondingly, those expecting to migrate from the country with earnings-related benefits to a country with flat-rate benefits may reduce their investment in education. With suitably planned transfers between the two countries, allowing for migration may generate a Pareto-improvement for all current and future generations. Without transfers, either country may be unable to pay for promised benefits when labor becomes mobile. -- social security ; education ; migration ; earnings-related and flat-rate pensions
On human capital formation with exit options : options: comment and new results by Panu Poutvaara( Book )

10 editions published between 2005 and 2006 in English and German and held by 20 WorldCat member libraries worldwide

Katz and Rapoport (2005) conclude that with linear production technology and the possibility of unilateral migration, region-specific shocks may increase the average level of education. Previously, Poutvaara (2000) derived a corresponding result with Cobb-Douglas technology and migration which may go in both directions. This paper shows that the exit option may reduce human capital formation with a quadratic production technology. -- human capital formation ; migration ; economic volatility
moreShow More Titles
fewerShow Fewer Titles
Audience Level
Audience Level
  Kids General Special  
Audience level: 0.87 (from 0.71 for Immigratio ... to 0.93 for Selfish an ...)

Alternative Names
Panu Poutvaara economist (ifo Institut - Leibniz-Institut für Wirtschaftsforschung an der Universität München e.V.; Ludwig-Maximilians-Universität München)

Panu Poutvaara Wirtschaftswissenschaftler (Tätig am Department of Economics, Univ. of Helsinki; Centre for Economic and Business Research (CEBR), Copenhagen; CESifo, München; Forschungsinstitut zur Zukunft der Arbeit (IZA), Bonn)

Poutvaara, P. 1973-

English (161)

German (5)