This paper characterizes optimal policies in the presence of tax evasion and undocumented workers. Equilibrium can be characterized as segmented or non-segmented, depending on whether domestic workers work exclusively in the formal sector (segmented) or also in the informal sector...

Using a model similar to labor market models of statistical discrimination, I de- scribe how and why racial profiling can arise even when law enforcement officers are racially unbiased. Specifically, if one racial group has a higher fraction of individuals who are at risk of committing the...

This paper employs a conditional quantile regression approach to quantify the dynamics of depression among adolescents, and examine the extent of true state dependence in youth depression conditional on unobserved individual heterogeneity and family socio5economic status. We use data on the...