In this paper we apply the same framework totime-series data from the United States over theperiod 1963–1992. We find that throughout thisperiod the efficiencies of skilled labor and capitalhave risen. The efficiency of unskilled laborhas risen in tandem with those of the otherfactors in the...

There are two sources of inconsistency in existing cross-country empiricalwork on growth: correlated individual effects and endogenous explanatoryvariables. We estimate a variety of cross- country growth regressions usinga generalized method of moments estimator that eliminates both problems.In...

We analytically and quantitatively examine a prominent justification forcapital income taxation: goods preferred by those with high ability ought tobe taxed. We study an environment where commodity taxes are allowed to benonlinear functions of income and consumption and find that, when ability...

We analytically and quantitatively examine a prominent justi…cation for capital income taxation: goodspreferred by those with high ability ought to be taxed. We study an environment where commodity taxesare allowed to be nonlinear functions of income and consumption and …nd that, when ability...

Government-nanced bank restructuring programs, occasionally costing up to 50% of GDP,are commonly used to resolve banking crises. We analyze the Ramsey-optimal paths of bankrecapitalization programs that weigh recapitalization benets and costs under dierent nancingoptions. In our model bank...

We consider nancial positions belonging to the Banach lattice of bounded measurable functionson a given measurable space. We discuss risk measures generated by general acceptance sets allowingfor capital injections to be invested in a pre-specied eligible asset with an everywhere positive...

Some investment advisors offer multiple versions of a fund with the same manager and highlycorrelated returns. But these “twin” funds are separate portfolios for different investors withdiffering abilities to select and monitor managers. Using a matched sample of retail andinstitutional twin...

We examine active retail mutual funds and institutional products with a mandate to invest ininternational equity markets between 1991 and 2009. Using global and regional factor models,we find no reliable evidence of alphas in the aggregate or on average. The right tail of thedistribution...