Klaus Wälde has been Professor of Economics at the Johannes-Gutenberg University Mainz since May 2009.

He previously held professorships at universities in Dresden, Würzburg and Glasgow. When joining the JGU, he received a 5-year research grant by the Gutenberg Research Council. Klaus has been working on economic theory, business cycles and international trade since the beginning of his PhD studies in 1992 at the University of Kiel, Germany.

He has published in leading international journals among which the Journal of Economic Theory, the Economic Journal or the International Economic Review. Recent work focuses on labour markets and their reforms (especially the Hartz Reforms in Germany) and on 'Emotional Economics'. He also contributed chapters to a textbook and taught Applied Intertemporal Optimization, an advanced textbook at the PhD level, at various universities.

He was invited for talks and research visits to many European countries, to North America and Asia. He is also a member of CESifo (www.cesifo.de) and an Extra-mural Fellow of the Department of Economics of the Université catholique de Louvain, Louvain-la-Neuve (www.ires.ucl.ac.be). He is an associate editor of the Journal of Economics. He worked for the World Bank and as an adviser at the European Commission.

His life took various dramatic turns with the birth of his first daughter in 2007, the birth of his second daughter and with his wife resuming full time work. Ever since he has been wondering about work-life balance. He considers 'compassion' and 'self-knowledge' as most central to his Weltanschauung.



IZA Discussion Paper No. 10261
Invited survey paper for Emotion Review 9 (2017): 271-278

Positive and negative feelings were central to the development of economics, especially in utility theory in classical economics. While neoclassical utility theory ignored feelings, behavioral economics more recently reintroduced feelings in utility theory. Beyond feelings, economic theorists use full-fledged specific emotions to explain behavior that otherwise could not be understood...

IZA Discussion Paper No. 9525
Labour Economics, 2018, 50, 128-143

This paper proposes a simple general equilibrium model with labour market frictions and an imperfect financial market. The aim of the paper is to analyse the transitional dynamics of unemployment and vacancies when financial constraints are in place. We model the financial sector as a monopolistically competitive banking sector that...

IZA Discussion Paper No. 7659
substantially revised version published as 'The Employment Effect of Reforming a Public Employment Agency' in: European Economic Review, 2016, 84, 140-164

To which extent does an increase in operating effectiveness of public employment agencies on the one hand and a reduction of unemployment benefits on the other reduce unemployment? Using the recent labour market reform in Germany as background we find that the role of unemployment benefit reduction for the reduction...

IZA Discussion Paper No. 4958
revised version published in: International Economic Review, 2013, 54 (4), 1159-1198

The distribution of unemployment duration in our equilibrium matching model with spell-dependent unemployment benefits displays a time-varying exit rate. Building on Semi-Markov processes, we translate these exit rates into an expression for the aggregate unemployment rate. Structural estimation using a German micro-data set (SOEP) allows us to discuss the effects...