In a dynamic model of assignment problems, small deviations suffice to move between stable outcomes. This result is used to obtain no-selection and almost-no-selection results under the stochastic stability concept for uniform and payoff-dependent errors. There is no-selection of partner or...

This paper documents a positive relationship between mineral resources abundance and individualistic values in the United States. We refer to "individualism" as the set of values opposed to public intervention in income allocation and favorable to individual selfresponsibility. We show that...

It is shown that a matching market with contracts may be embedded into a matching market with salaries under weaker assumptions on preferences than substitutability. In particular, the result applies to the recently studied problem of cadet-to-branch matching. As an application of the embedding...

We study the effectiveness of public investment in stimulating an economy stuck in a liquidity trap. We do so in the context of a tractable new-Keynesian economy in which a fraction of government spending increases the stock of public capital subject to a time-to-build constraint. Public...

During the European sovereign debt crisis, most countries that ran into fiscal trouble had Catholic majorities, whereas countries with Protestant majorities were able to avoid fiscal problems. Survey data show that, within Germany, views on the euro differ between Protestants and...