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incorporates both addiction and social interactions and show that, under certain conditions, social interactions reinforce the … effects of addiction. I also show how the dynamics introduced by addiction can solve the pernicious problem of identifying the …
Persistent link: https://www.econbiz.de/10012452879
addiction benefit because they can switch to a less harmful substance, but opponents argue that this could encourage abstainers … to begin using the harm reduction method or even the original addictive good. This paper builds on theories of addiction …
Persistent link: https://www.econbiz.de/10014226123
addiction. In contrast to prior research, we allow individuals to make their consumption decisions simultaneous with savings and … labor supply. When addictive goods have a stronger habit formation effect (an addiction effect'), individuals choose to save … less due to the anticipated adverse health consequences of addiction (a detrimental health effect'). This is particularly …
Persistent link: https://www.econbiz.de/10012469460
Many real-life settings of consumer-choice involve social interactions, causing targeted policies to have spillover-effects. This paper develops novel empirical tools for analyzing demand and welfare-effects of policy-interventions in binary choice settings with social interactions. Examples...
Persistent link: https://www.econbiz.de/10012479897
Social policy to limit interactions can slow the spread of infection, but this benefit comes at the cost of reduced output. We solve an optimal control problem to choose the degree of interaction to maximize an objective function that rewards output and penalizes excess deaths. Optimal policy...
Persistent link: https://www.econbiz.de/10012481290
We provide a method to measure welfare, in money-metric terms, taking into account expectations about the future. Our two key assumptions are that (1) the expenditure function is separable between the present and the future, and (2) there are some households that do not face idiosyncratic...
Persistent link: https://www.econbiz.de/10014576596
This paper analyzes the determinants of health insurance enrollment and health expenditure in Ghana using micro data from wave 7 of the Ghana Living Standards Survey (GLSS 7) with emphasis on the role of risk preferences and the availability of health facilities in one's own community. It is...
Persistent link: https://www.econbiz.de/10013334394
The purpose of this paper is to conduct a theoretical and empirical analysis of the nexus between long-term care insurance (LTCI), formal care, informal (family) care, and bequests. In our empirical analysis, we use micro data from the Japan Household Panel Survey on Consumer Preferences and...
Persistent link: https://www.econbiz.de/10014635707
We compare the behavior and welfare effects of two popular interventions for resource conservation. The first intervention is social comparison reports (SC), which primarily provide consumers with information motivating behavioral change. The second intervention is real-time feedback (RTF),...
Persistent link: https://www.econbiz.de/10014436976
Research on the causal effects of online advertising on consumer welfare is limited due to challenges in running large-scale field experiments and tracking effects over extended periods. We analyze a long-running field experiment of online advertising in which a random 0.5% subset of all users...
Persistent link: https://www.econbiz.de/10015056172