The recent financial crisis has forced a rethink of banking regulation and supervision and the role of financial innovation. This paper develops a model where prudent banks may signal their type through high capital ratios. Capital regulation may ensure separation in equilibrium, but deposit...

While effective preventive measures against COVID-19 are now widely known, many individuals fail to adopt them. This paper provides experimental evidence about one potentially important driver of compliance with social distancing: social norms. We asked each of 23,000 survey respondents in...

Does compliance with low-cost civic duties increase demand for social accountability? We address this question by conducting a field experiment at train stations in Buenos Aires. We create exogenous variation in compliance with paying the public transportation fare by i) highlighting sanctions...

Scientific and economic consensus increasingly points to the need for a credible and cost-effective approach to address the threat of global climate change, but the Kyoto Protocol to the U.N. Framework Convention on Climate Change appears incapable of inducing significant participation and...