A Century of Global Equity Market Correlations

By Dennis P. Quinn and Hans-Joachim Voth

American Economic Review, May 2008

Pay for Performance and Beyond

By Bengt Holmström

American Economic Review, July 2017

Incentives are often associated with narrow financial rewards such as bonuses or executive stock options. But in general such rewards are just a small part of the design of incentives. Properly designed incentive systems have to take into account the full...

The Drivers of Financial Globalization

By Philip R. Lane and Gian Maria Milesi-Ferretti

American Economic Review, May 2008

Minimum Wage Laws: Are They Overrated?

By Charles Brown

Journal of Economic Perspectives, Summer 1988

I think there is a reasonably high degree of agreement in studies of the impact of the minimum wage on employment, unemployment, and the distribution of income -- though I will also point to a few areas where further work could refine our understanding of...

Consumers' Perceptions and Misperceptions of Energy Costs

By Hunt Allcott

American Economic Review, May 2011

This paper presents three initial stylized facts from the Vehicle Ownership and Alternatives Survey (VOAS), a nationally representative survey that elicits consumers' beliefs about gasoline prices and the relative energy costs of autos with different fuel...

Consumer Bankruptcy: A Fresh Start

By Igor Livshits, James MacGee, and Michèle Tertilt

American Economic Review, March 2007

Consumer bankruptcy provides partial insurance against bad luck, but, by driving up interest rates, makes life-cycle smoothing more difficult. We argue that to assess this trade-off one needs a quantitative model of consumer bankruptcy with three key feat...

Participation

By Gary Charness and Martin Dufwenberg

American Economic Review, June 2011

We show experimentally that whether and how communication achieves beneficial social outcomes in a hidden-information context depends crucially on whether low-talent agents can participate in a Pareto-improving outcome. Communication is effective (and ...

Taxation and Corporate Payout Policy

By James Poterba

American Economic Review, May 2004

Trade and the Diffusion of the Industrial Revolution

By Robert E. Lucas

American Economic Journal: Macroeconomics, January 2009

This paper proposes a model to describe the evolution of real gross domestic product (GDP) in the world economy that is intended to apply to all open economies. The parameters of the model are calibrated using evidence from Sachs and Warner on economie...

The Columbian Exchange: A History of Disease, Food, and Ideas

By Nathan Nunn and Nancy Qian

Journal of Economic Perspectives, Spring 2010

This paper provides an overview of the long-term impacts of the Columbian Exchange -- that is, the exchange of diseases, ideas, food crops, technologies, populations, and cultures between the New World and the Old World after Christopher Columbus' voyage ...

Kinship and Financial Networks, Formal Financial Access, and Risk Reduction

By Cynthia Kinnan and Robert Townsend

American Economic Review, May 2012

Kinship networks are beneficial for smoothing consumption and investment, but the channels are not well understood. We study the financing devices used for consumption and investment by Thai households. Households that are connected to banks achieve signi...

Measuring the Output Responses to Fiscal Policy

By Alan J. Auerbach and Yuriy Gorodnichenko

American Economic Journal: Economic Policy, May 2012

A key issue in current research and policy is the size of fiscal multipliers when the economy is in recession. We provide three insights. First, using regime-switching models, we find large differences in the size of spending multipliers in recessions an...

Cross-Country Income Levels over Time: Did the Developing World Suddenly Become Much Richer?

By Robert Inklaar and D. S. Prasada Rao

American Economic Journal: Macroeconomics, January 2017

The latest global survey on relative prices and income levels, for the year 2011, showed changes to relative income levels that were larger in lower income countries, thereby narrowing the world income distribution compared to estimates based on the previ...

How Much Can Expanding Access to Long-Acting Reversible Contraceptives Reduce Teen Birth Rates?

By Jason M. Lindo and Analisa Packham

American Economic Journal: Economic Policy, August 2017

We estimate the degree to which expanding access to long-acting reversible contraceptives (LARCs) can reduce teen birth rates by analyzing Colorado's Family Planning Initiative, the first large-scale policy intervention to expand access to LARCs in the Un...

A New Measure of Horizontal Equity

By Alan J. Auerbach and Kevin A. Hassett

American Economic Review, September 2002

Teaching Economics in the 21st Century

[Symposium: Forecasts for the Future of Economics]

By William E. Becker

Journal of Economic Perspectives, Winter 2000

The desire to reverse a downward trend in the number of undergraduates majoring in economics is an impetus to advance the scholarship of teaching economics as we enter the 21st century. This article offers suggestions for changing the concepts taught and ...

Turning a Shove into a Nudge? A "Labeled Cash Transfer" for Education

By Najy Benhassine, Florencia Devoto, Esther Duflo, Pascaline Dupas, and Victor Pouliquen

American Economic Journal: Economic Policy, August 2015

Conditional Cash Transfers (CCTs) have been shown to increase human capital investments, but their standard features make them expensive. We use a large randomized experiment in Morocco to estimate an alternative government-run program, a "labeled cash tr...

Risk Preferences Are Not Time Preferences: Separating Risk and Time Preference: Comment

By Bin Miao and Songfa Zhong

American Economic Review, July 2015

Andreoni and Sprenger (2012a,b) observe that utility functions are distinct for risk and time preferences, and show that their findings are consistent with a preference for certainty. We revisit this question in an enriched experimental setting in whic...

Human Capital and Growth

By Robert J. Barro

American Economic Review, May 2001

Designing Efficient Mechanisms for Dynamic Bilateral Trading Games

By Susan Athey and Ilya Segal

American Economic Review, May 2007