This paper studies the aggregate economic effects of diversity policies such as affirmative action in college admission. If agents are constrained in the side payments they can make, the free market allocation displays excessive segregation relative to the first-best. Affirmative action policies...

We study the impact of employment quota on firms' demand for disabled workers. The Austrian Disabled Persons Employment Act (DPEA) requires firms to provide at least one job to a disabled worker per 25 non-disabled workers, a rule which is strictly enforced by non-compliance taxation. We find...

We evaluate an experimental program in which the French public employment service anonymized resumes for firms that were hiring. Firms were free to participate or not; participating firms were then randomly assigned to receive either anonymous resumes or name-bearing ones. We find that...

In the early 1980’s Australia had a highly progressive, individual based income tax and families received support for dependent children in the form of universal family allowances. The introduction of income tests for child support payments based on family income (now in the form of Family Tax...

This Paper studies the optimal education policy in the presence of different groups of households, with groups differing in the distribution of the ability to benefit from education. The main result is that the high ability individuals from groups with relatively few high ability individuals...

We present an economic experiment on network formation, in which subjects can decide to form links to one another. Direct links are costly but being connected is valuable. The game-theoretic basis for our experiment is the model of Bala and Goyal (2000). They distinguish between two scenarios...

Has access to selective post-secondary schools expanded or contracted? Evaluating this question has proven a difficult task due to limited data and biased measures of family income. We complement previous work and provide a replicable model of institutional analysis. This paper presents a...

In late 2003, Norway passed a law mandating 40 percent of each gender on the board of publicly limited liability companies. The primary objective of this reform was to increase representation of women in top positions in the corporate sector and decrease gender disparity in earning within that...