Department of Economics

European University Institute

Villa La Fonte;

Via delle Fontanelle, 18

50014 Fiesole, Italy

Tel: +39 055 4685 909

Fax: +39 055 4685 902














Árpád Ábrahám

Professor of Economics






Efficient Risk Sharing with Limited Commitment and Storage, (with Sarolta Laczó), forthcoming at the Review of Economic Studies.


Optimal Income Taxation when Asset Taxation is Limited, Journal of Public Economics, 136:14-29, 2016, (with Nicola Pavoni and Sebastiam Koehne).



On the First Order Approach in Principal-Agent Models with Hidden Borrowing and Lending, Journal of Economic Theory, 2011, forthcoming, (with Nicola Pavoni and Sebastiam Koehne).


Endogenous Trading Constraints in Incomplete Asset Markets., Journal of Economic Theory, 2010, 145: 974-1004 (with Eva Carceles-Poveda).


Efficient Allocations with Moral Hazard and Hidden Borrrowing and Lending: A recursive Formulation., Review of Economic Dynamics, 2008, 11: 781-803,(with Nicola Pavoni).


Comment on Altruism, Incomplete Markets, and Tax Fuster, Imrohoroglu and Imrohoroglu., Journal of Monetary Economics, 2008, 55(1): 91:97.


Earnings Inequality and Skill-biased Technological change with Endogenous Choice of Education., Journal of the European Economic Association, 2008, 6(2-3):695-704.


Endogenous Incomplete Markets, Enforcement Constraints and Intermediation, Theoretical Economics, 2006, pp. 439-459. (with Eva Carceles-Poveda).


The Efficient Allocation of Consumption under Moral Hazard and Hidden Access to the Credit Market., Journal of the European Economic Association, April-May 3(2-3): 370-381. (Nicola Pavoni)


Unemployment Differentials in Hungary:The Role of Race and Human Capital., in Halpern and Wyplosz (eds.): Hungary: Towards a Market Economy, 1998, Cambridge University Press (with Gábor Kertesi) .


Income Structure and Distribution of the Tax Burden., Acta Oeconomica, pp. 271-295 (with István János Tóth).


Working Papers



The Effect of Moral Hazard on Wage Inequality with On-the-Job Search and Employer Competition, (with Susanne Forstner and Fernando Alvarez-Parra)  new version is coming soon.


Economics PhD Programs in Europe: Completion Times and More , (with Benedikt Dengler and Vinzenz Ziesemer) new version is coming soon.


Tax Reform with Endogenous Borrowing Limits and Incomplete Asset Markets, (with Eva Carceles-Poveda) new version is coming soon.


Competitive Equilibria with Production and Limited Commitment,  (with Eva Carceles-Poveda).


The Dynamics of Plant-Level Productivity in the U.S., (joint with Kirk White) (revise and resubmit at the Review of Economic Dynamics) new version is coming soon.


Work in Progress


On the Design of a European Unemployment Insurance Mechanizm (with Joao Brogueira de Sousa, Ramon Marimon and Lukas Mayr). Recent Slides Draft available soon.


Optimal Asset Division Rules for Partnership (with Piero Gottardi) Recent Slides Draft available soon.


Household Behavior and Optimal Property Division upon Divorce, (with Sarolta Laczo) Recent Slides Draft available soon.


Tax Progressivity, Performance Pay, and Search Frictions, (with Pawel Doligalski and Susanne Fortner) Recent Slides Draft available soon.


On the optimal design of a Financial Stability Fund, (joint with Eva Carceles-Poveda, Yan Liu and Ramon Marimon). Recent Slides Draft available soon.


Labor Suply, Endogenous Wage Dynamics and Tax Policy (joint with Jay Hong and Ricardo Santos). SED Slides


Optimal Unemployment Insurance, Layoff-Risk and Hidden Wealth: A Case for Unemployment Accounts System (with Nicola Pavoni).