A model for measurement error is developed, based on the assumption that measurement error is random, multiplicative, and independent of the level of actual income. Thus, measured income is defined as the product of actual income and measurement error. Flexible parametric forms are utilized to...

There is some debate about whether firms advertise too much or too little. We present a simple model to examine the incentives of a firm to advertise, and distinguish between the market-expansion effect and the business-stealing effect of advertising. Firms advertise homogeneous products (beef)...

There is some debate about whether firms advertise too much or too little. We present a simple model to examine the incentives of a firm to advertise, and distinguish between the market expansion effects and business stealing effects of advertising. When products are homogeneous, firms advertise...

There is a large variability in both female and male life expectancies by county in the U.S. We develop and test a model of the impact of demographic, economic, educational, social, and geographic factors on mean life expectancy by county for males and females born in 1990. We find that the...