The estimates of the structural parameters of a job separations model derived from the theory of on-the-job search are reported in this papers. Given that each employer pays the same wage to all observably equivalent workers and that wage dispersion across employers exists in the sense that...

Learning and communication play important roles in coordinating activities. Game theory and experiments have made a significant contribution to our understanding and appreciation for the issues surrounding learning and communication in coordination. However, the results of past experimental...

Models of job creation and destruction emphasize the endogeneity of the decision to start up or kill off a job. Faced with random and largely idiosyncratic shocks to productivity, firms adopt a reservation strategy for keeping a job in existence. This reservation productivity depends upon the...

Results from the Iowa Political Stock Market are analyzed to ascertain how well markets work as aggregators of information. The authors find that the market worked extremely well, dominating opinion polls in forecasting the outcome of the 1988 presidential election, even though traders in the...

Economic data are frequently generated by stochastic processes that can be modelled as occurring in continuous time. That is, the data are treated as realizations of a random function (functional data). Sometimes an economic theory model specifies the process up to a finite-dimensional...

Most data used to study the durations of unemployment spells come from the Current Population Survey, which is a point-in-time survey and gives an incomplete picture of the underlying duration distribution. We introduce a new sample of completed unemployment spells obtained from panel data and...

Stimulus-response (SR) and belief-based learning (BBL) models are estimated with experimental data from sender-receiver games and compared using the Davidson and MacKinnon P-test for non-nested hypotheses. Depending on a certain adjustment parameter, the P-test favors the SR model, the BBL model...