Showing 91 - 100 of 482
A government or public organization would like to subsidize an indivisible good. Consumers’ valuations of the good vary according to their wealth and benefits from the good. Education, medical care, and housing are common examples. A regulator has access to either wealth or benefit...
Persistent link: https://www.econbiz.de/10005209371
We consider the power properties of the CUSUM and CUSUM of squares tests in the presence of a one-time change in the parameters of a linear regression model. A result due to Ploberger and Krämer (1990) is that the CUSUM of squares test has only trivial asymptotic local power in this case, while...
Persistent link: https://www.econbiz.de/10005209372
Fixed effects estimators of nonlinear panel models can be severely biased due to the incidental parameters problem. In this paper I find that the most important component of this incidental parameters bias for probit fixed effects estimators of index coefficients is proportional to the true...
Persistent link: https://www.econbiz.de/10005209373
We show that small switching costs can have surprisingly dramatic effects in infinitely repeated games if these costs are large relative to payoffs in a single period. This shows that the results in Lipman and Wang [2000] do have analogs in the case of infinitely repeated games. We also discuss...
Persistent link: https://www.econbiz.de/10005209374
This paper investigates the micro-level link between judicial quality and eco- nomic outcomes. It uses a loan-level data set from a large Indian bank to es- timate the impact of a new quasi-legal institution, Debt Recovery Tribunals, which are aimed at accelerating banks' recovery of...
Persistent link: https://www.econbiz.de/10005209375
This paper re-examines the relation between the predictability of health care spending and incentives due to adverse selection. Within an explicit model of health plan decisions about service levels, we show that predictability (how well spending on certain services can be anticipated),...
Persistent link: https://www.econbiz.de/10005209376
Recently, there has been an upsurge of interest on the possibility of confusing long memory and structural changes in level. Many studies have documented the fact that when a stationary short memory process is contaminated by level shifts the estimate of the fractional differencing parameter is...
Persistent link: https://www.econbiz.de/10005209377
Persistent link: https://www.econbiz.de/10005079008
How does the spatial distribution of employment opportunities influence residential location? We revisit this classic question in urban economics by exploiting a natural experiment generated by the history of state capitals. Many state employees in capital cities work in centrally located...
Persistent link: https://www.econbiz.de/10005256387
For generations of scholars and observers, the "transportation revolution," especially the railroad, has loomed large as a dominant factor in the settlement and development of the United States in the nineteenth century. There has, however, been considerable debate as to whether transportation...
Persistent link: https://www.econbiz.de/10005256388