NATIONAL BUREAU OF ECONOMIC RESEARCH
NATIONAL BUREAU OF ECONOMIC RESEARCH

NBER Publications by Lars Ljungqvist

Contact and additional information for this authorAll papers and publicationsWorking Papers onlyWorking Papers with publication info

Working Papers and Chapters

February 2010How Sweden’s Unemployment Became More Like Europe’s
with Thomas J. Sargent
in Reforming the Welfare State: Recovery and Beyond in Sweden, Richard B. Freeman, Birgitta Swedenborg and Robert Topel, editors
March 2009Optimal Endowment Destruction under Campbell-Cochrane Habit Formation
with Harald Uhlig: w14772
Campbell and Cochrane (1999) formulate a model that successfully explains a wide variety of asset pricing puzzles, by augmenting the standard power utility function with a time-varying subsistence level, or "external habit", that adapts nonlinearly to current and past average consumption in the economy. This paper demonstrates, that this comes at the "price" of several unusual implications. For example, we calculate that a society of agents with the preferences and endowment process of Campbell and Cochrane (1999) would experience a welfare gain equivalent to a permanent increase of nearly 16% in consumption, if the government enforced one month of fasting per year, reducing consumption by 10 percent then. We examine and explain these features of the preferences in detail. We numerically...
May 2007Do Taxes Explain European Employment? Indivisible Labor, Human Capital, Lotteries, and Savings
with Thomas J. Sargent
in NBER Macroeconomics Annual 2006, Volume 21, Daron Acemoglu, Kenneth Rogoff and Michael Woodford, editors
January 1997Taxes and Subsidies in Swedish Unemployment
with Thomas J. Sargent
in The Welfare State in Transition: Reforming the Swedish Model, Richard B. Freeman, Robert Topel, and Birgitta Swedenborg, editors

Contact and additional information for this authorAll papers and publicationsWorking Papers onlyWorking Papers with publication info

 
Publications
Activities
Meetings
Data
People
About

Support
National Bureau of Economic Research, 1050 Massachusetts Ave., Cambridge, MA 02138; 617-868-3900; email: info@nber.org

Contact Us