Giuseppe Bertola

TL;DR: In this paper, a model of firms' optimal employment policies under linear adjustment costs is proposed, and it is shown that firing costs have a larger effect on firms' propensity to fire than to hire, and (slightly) increase average long run employment.

TL;DR: This article found that job security provisions alone alone cannot be blamed for the high unemployment in European countries, and that medium and long run employment appears unrelated to the extent of job security legislation.

TL;DR: In this article, the authors present the report on the European economic system, which was submitted to the President of the European Commission in July 2003, and is divided into three parts: an assessment of the economic performance in terms of growth, stability, and cohesion.

TL;DR: In this paper, the authors show that if the median voter is capital-poor relative to the economy's representative agent, political interactions tend to slow down growth when policy acts on capital's income share and tend to accelerate it when investment subsidies are the policy instrument of choice.

TL;DR: In this paper, the authors propose and solve an optimizing model which explains counterintuitive effects of fiscal policy in terms of expectations, showing that if government spending follows an upward-trending stochastic process which the public believes may fall sharply when it reaches specific "target points," then optimizing consumption behavior and simple budget constraint arithmetic imply a nonlinear relationship between private consumption and government spending.