Rolling back the public sector: differential effects on employment, investment, and growth
分析了缩减福利国家的不同方式（削减公共支出、公共就业或劳动所得税率）对利率、工资、资本存量、就业和投资的差异化影响，并考虑了内生增长、投资调整成本和非瓦尔拉斯劳动力市场。
The macroeconomic effects of different ways of rolling back the welfare state are analysed. Cutting public spending on market goods induces a lower interest rate, a higher wage, a lower capital stock, and a fall in employment. Cutting public employment or the labour income tax rate leads, in contrast, to a lower wage, a higher interest rate and a higher capital stock. Employment rises on impact. If the extra revenues of rolling back the welfare state are handed back via a lower tax rate rather than a lump-sum subsidy, both cutting public employment and cutting public spending on market goods induce an investment boom. Making the tax system less progressive by cutting tax credits and the labour income tax rate induces an investment boom as well. The effects of endogenous growth, adjustment costs for investment, and non-Walrasian labour markets on these results are considered as well.