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The Work-and-Spend Cycle in a Globalized World

Author

Listed:
  • Markus Knell

    (Oesterreichsiche Nationalbank)

Abstract

In this paper we show that globalization might cause an inefficient reduction of working time regulation. The argument rest on the assumption that people care about their relative standing and that national policymakers fail to completely internalize the consumption externality of the increasingly international reference standards.

Suggested Citation

  • Markus Knell, 2009. "The Work-and-Spend Cycle in a Globalized World," Economics Bulletin, AccessEcon, vol. 29(1), pages 491-498.
    • Handle: RePEc:ebl:ecbull:eb-08j20019
    as

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    File URL: http://www.accessecon.com/Pubs/EB/2009/Volume29/EB-09-V29-I1-P51.pdf
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    References listed on IDEAS

    as
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    4. Samuel Bowles & Yongjin Park, 2005. "Emulation, Inequality, and Work Hours: Was Thorsten Veblen Right?," Economic Journal, Royal Economic Society, vol. 115(507), pages 397-412, November.
    5. Edward C. Prescott, 2004. "Why do Americans work so much more than Europeans?," Quarterly Review, Federal Reserve Bank of Minneapolis, vol. 28(Jul), pages 2-13.
    6. Alberto Alesina & Edward Glaeser & Bruce Sacerdote, 2006. "Work and Leisure in the United States and Europe: Why So Different?," NBER Chapters, in: NBER Macroeconomics Annual 2005, Volume 20, pages 1-100, National Bureau of Economic Research, Inc.
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    More about this item

    JEL classification:

    • J2 - Labor and Demographic Economics - - Demand and Supply of Labor
    • H2 - Public Economics - - Taxation, Subsidies, and Revenue

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