This paper discusses an investigation of the effects of systematic underreporting of income and of sample selectivity on the estimated levels of two subjective definitions of poverty: the so-called subjective poverty line and the Leyden poverty line. Both turn out to have substantially biasing...

Each week, the Dutch Postcode Lottery (PCL) randomly selects a postal code, and distributes cash and a new BMW to lottery participants in that code. We study the effects of these shocks on lottery winners and their neighbors. Consistent with the life-cycle hypothesis, the effects on winners’...