Gender Differences in the Labor Market: Impact of IRCA

By Catalina Amuedo-Dorantes, Cynthia Bansak, and Steven Raphael

American Economic Review, May 2007

Oil and Conflict: What Does the Cross Country Evidence Really Show?

By Anca M. Cotet and Kevin K. Tsui

American Economic Journal: Macroeconomics, January 2013

This paper re-examines the effect of oil wealth on political violence. Using a unique historical panel dataset of oil discoveries, we show that simply controlling for country fixed effects removes the statistical association between the value of oil re...

Optimal Provision of Multiple Excludable Public Goods

By Hanming Fang and Peter Norman

American Economic Journal: Microeconomics, November 2010

This paper studies the optimal provision mechanism for multiple excludable public goods. For a class of problems with symmetric goods and binary valuations, we show that the optimal mechanism involves bundling if a regularity condition, akin to a hazard r...

The Effects of Tax Shocks on Output: Not So Large, but Not Small Either

By Roberto Perotti

American Economic Journal: Economic Policy, May 2012

I argue that, on theoretical grounds, the discretionary component of taxation should be allowed to have different effects than the automatic response of tax revenues to macroeconomic variables. Based on a novel dataset, I show two results. First, response...

Incentives and Student Learning: A Natural Experiment with Economics Problem Sets

By Wayne A. Grove and Tim Wasserman

American Economic Review, May 2006

Relational Contracts and the Value of Loyalty

By Simon Board

American Economic Review, December 2011

This paper characterizes the optimal contract for a principal who repeatedly chooses among N potential agents under the threat of holdup. Over time, the principal would like to trade with different agents; however, the possibility of ex-post opportunism a...

Neglected Risks: The Psychology of Financial Crises

By Nicola Gennaioli, Andrei Shleifer, and Robert Vishny

American Economic Review, May 2015

We model a financial market in which investor beliefs are shaped by representativeness. Investors overreact to a series of good news, because such a series is representative of a good state. A few bad news do not change investor minds because the good sta...

Overconfidence and Diversification

By Yuval Heller

American Economic Journal: Microeconomics, February 2014

Experimental evidence suggests that people tend to be overconfident in the sense that they overestimate the accuracy of their private information. In this paper, we show that risk-averse principals might prefer overconfident agents in various strategic i...

Credo of a Lucky Textbook Author

By Paul A. Samuelson

Journal of Economic Perspectives, Spring 1997

At war's end, introductory economics textbooks were overdue for a revolutionary advance. Change conspired to tempt the author to bring to the beginning course the rudiments of Keynesian macroeconomics. The impact was explosive. In reaction to criticisms o...

Report: Committee on Government Relations

By Robert Moffitt

American Economic Review, May 2013

Challenges in Merger Simulation Analysis

By Christopher R. Knittel and Konstantinos Metaxoglou

American Economic Review, May 2011

In this paper, we share our experience with merger simulations using a Random Coefficient Logit model on the demand side and assuming a static Bertrand game on the supply side. Drawing largely from our work in Knittel and Metaxoglou (2008), we show that d...

Facts and Figures on Intermediated Trade

By Bernardo S. Blum, Sebastian Claro, and Ignatius Horstmann

American Economic Review, May 2010

A Note on Liquidity Risk Management

By Markus K. Brunnermeier and Motohiro Yogo

American Economic Review, May 2009

Nobel Laureate Robert E. Lucas, Jr.: Architect of Modern Macroeconomics

By V. V. Chari

Journal of Economic Perspectives, Winter 1998

In 1995, Robert E. Lucas was awarded the Nobel Memorial Prize for Economic Science. This review places Lucas's work in a historical context and evaluates the effect of this work on the economics profession. Lucas's central contribution is that he develope...

Gaming against Managers in Incentive Systems: Experimental Results with Chinese Students and Chinese Managers

By David J. Cooper, John H. Kagel, Wei Lo, and Qing Liang Gu

American Economic Review, September 1999

We examine strategic interactions between firms and planners in China, comparing behavior between: (i) students and managers with field experience with this situation, (ii) standard versus increased monetary incentives, and (iii) sessions conducted "in co...

Minutes of the Meeting of the Executive Committee: Atlanta, GA, January 2, 2010

By John J. Siegfried

American Economic Review, May 2010

Do Natural Field Experiments Afford Researchers More or Less Control Than Laboratory Experiments?

By Omar Al-Ubaydli and John A. List

American Economic Review, May 2015

A commonly held view is that laboratory experiments provide researchers with more "control" than natural field experiments. This paper explores how natural field experiments can provide researchers with more control than laboratory experiments. While labo...

Two Improvements on the Clinton Framework

[Symposium: Health Care Reform]

By Peter A. Diamond

Journal of Economic Perspectives, Summer 1994

Under the Clinton proposal, states choose a single payer or large regional alliances, where individuals choose from all plans in the market. This should give the high administrative costs of individual choice, not those of group choice. States should have...

An Interview with Paul Volcker

[Symposium: The First 100 Years of the Federal Reserve]

By Martin Feldstein

Journal of Economic Perspectives, Fall 2013

Martin Feldstein interviewed Paul Volcker in Cambridge, Massachusetts, on July 10, 2013, as part of a conference at the National Bureau of Economic Research on "The First 100 Years of the Federal Reserve: The Policy Record, Lessons Learned, and Prospect...

The Affinity between Ownership Forms and Coordination Mechanisms: The Common Experience of Reform in Socialist Countries

By Janos Kornai

Journal of Economic Perspectives, Summer 1990

The world is witnessing a great upheaval in socialist countries, where dramatic events have been happening since 1988. The present paper concentrates on evaluating past experience in the hope that a correct understanding of the past will help in devising ...