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Family Labor Supply Responses to Severe Health Shocks: Evidence from Danish Administrative Records

By Itzik Fadlon and Torben Heien Nielsen

American Economic Journal: Applied Economics, July 2021

We provide new evidence on households' labor supply responses to fatal and severe nonfatal health shocks in the short run and medium run. To identify causal effects, we leverage administrative data on Danish families and construct counterfactuals using ho...

Credit Rationing and Pass-Through in Supply Chains: Theory and Evidence from Bangladesh

By M. Shahe Emran, Dilip Mookherjee, Forhad Shilpi, and M. Helal Uddin

American Economic Journal: Applied Economics, July 2021

Traders are often blamed for high prices, prompting government regulation. We study the effects of a government ban of a layer of financing intermediaries in edible oil supply chain in Bangladesh during 2011–2012. Contrary to the predictions of a standa...

Hometown Ties and the Quality of Government Monitoring: Evidence from Rotation of Chinese Auditors

By Jian Chu, Raymond Fisman, Songtao Tan, and Yongxiang Wang

American Economic Journal: Applied Economics, July 2021

Audits are a standard mechanism for reducing corruption in government investments. The quality of audits themselves, however, may be affected by relationships between auditor and target. We study whether provincial chief auditors in China show greater l...

Minority Salience and Political Extremism

By Tommaso Colussi, Ingo E. Isphording, and Nico Pestel

American Economic Journal: Applied Economics, July 2021

We investigate how the salience of an ethnic minority affects the majority group's voting behavior. We use the increased salience of Muslim communities during Ramadan as a natural experiment. Exploiting exogenous variation in the distance of election date...

Persistent Political Engagement: Social Interactions and the Dynamics of Protest Movements

By Leonardo Bursztyn, Davide Cantoni, David Y. Yang, Noam Yuchtman, and Y. Jane Zhang

American Economic Review: Insights, June 2021

We study the causes of sustained participation in political movements. To identify the persistent effect of protest participation, we randomly indirectly incentivize Hong Kong university students into participation in an antiauthoritarian protest. To iden...

Macro and Micro Dynamics of Productivity: From Devilish Details to Insights

By G. Jacob Blackwood, Lucia S. Foster, Cheryl A. Grim, John Haltiwanger, and Zoltan Wolf

American Economic Journal: Macroeconomics, July 2021

Firm-level, revenue-based productivity measures are ubiquitous in studies of firm dynamics and aggregate outcomes. One common measure is increasingly interpreted as reflecting "distortions" since in distortions' absence, equalization of marginal revenue p...