This paper is concerned with testing the time series implications of the capital asset pricing model (CAPM) due to Sharpe (1964) and Lintner (1965), when the number of securities, N, is large relative to the time dimension, T, of the return series. In the case of cross-sectionally correlated...

It is shown that any completely preordered topological real algebra admits a continuous utility representation which is an algebra-homomorphism (i.e., it is linear and multiplicative). As an application of this result, we provide an algebraic characterization of the projective (dictatorial)...

This paper develops the mathematical foundations of comparison, referential, and relative (CRR) processes. The key ingredients are: (1) three kinds of terms; and (2) two kinds of relations. Combining the three terms - absolute amount, relative amount, and relative rank - with the two kinds of...

This research introduces an agent-based simulation model representing the dynamic processes of cooperative R&D in the manufacturing sector of South Korea. Firms' behavior is defined according to empirical findings on the Korean Innovation Survey 2005 and captured in a multivariate probit...

We compare the performance of maximum likelihood (ML) and simulated method of moments (SMM) estimation for dynamic discrete choice models. We construct and estimate a simplified dynamic structural model of education that captures some basic features of educational choices in the United States in...

Children affect the after-birth labor force participation of women in two ways. Directly, the time spent in child-care reduces the labor market effort. Time spent out of the labor market while on maternity leave alters women’s participation experience and indirectly affects subsequent...

This paper investigates the extent to which test performance is affected by shocks to non-cognitive skills. 440 students took a low stakes mathematics test. About half of them were exposed to positive affirmation while being given test instructions, whereas the other half served as controls. The...

We use panel data from NLSY79 to analyze the effects of the timing and spacing of births on the labor supply of married women in a framework that accounts for the endogeneity of labor market and fertility decisions, the heterogeneity of the effects of children and their correlation with the...

We evaluate price subsidies and tax credits for child care. We focus on partnered women's labor supply, household income and welfare, demand for formal and informal child care and government expenditure. Using Australian data, we estimate a joint, discrete structural model of labor supply and...

The paper takes advantage of exceptionally rich longitudinal data on the universe of labor force participants in Slovenia and simulates the working of an income contingent loan scheme to partly recover tuition costs. The simulations show that under the base variant (where the target cost...