An alternative to using normally distributed random effects in modeling clustered binary and ordered responses is based on using a finite-mixture. This approach gives rise to a flexible class of generalized linear mixed models for item responses, multilevel data, and longitudinal data. A test of...

In this paper, a theory of total factor productivity (TFP) that incorporates a model of intelligence is formulated and described. In particular, the fluid intelligence of ordinary workers is emphasized as an important element in TFP because such workers have the intelligence to innovate, even...

On BHPS data we measure various indices of social capital at the individual and household level, and use them as explanatory variables in standard consumption insurance tests. We find that two out of three aspects of social capital positively impact on consumption smoothing, by reducing the...