Individuals’ socioeconomic status (SES) is positively correlated with their health status. While the existence of this gradient may be uncontroversial, the same cannot be said about its explanation. In this paper, we extend the approach of testing for the absence of causal channels developed...

The new Medicare Part D program provides prescription drug coverage for older Americans through highly subsidized and tightly regulated plans offered by private insurance firms. For most eligible individuals without coverage from other sources, obtaining Part D coverage would be rational, but it...

This short paper aims to find an empirical evidence that al Qaeda behaves as a contest organizer rewarding an indivisible prize – namely, official membership and economic rewards – to candidate extremists groups. Would-be terrorists must then compete with each other to prove their commitment...

This paper finds an empirical evidence that al Qaeda behaves as a contest organizer rewarding a prize to candidate extremist groups. Would-be terrorists must then compete with each other to prove their commitment and ability. Hence to maximize their own probability of winning the prize, each...

Abstract There is ample empirical evidence indicating that a substantial fraction of the population exhibits social preferences. Recent work also shows that social preferences influence the effectiveness of incentives in labor relations. Hence, when making contracting decisions, employers should...

Much has been said about the stylized fact that the economically successful are not only wealthier but also healthier than the less affluent. There is little doubt about the existence of this socio-economic gradient in health, but there remains a vivid debate about its source. In this paper, we...