Does it pay to appear unbiased in an attention-based economy where bias sells? We consider this question in a context with growing consumer polarization and partisan and neutral online news providers. We provide a game-theoretic framework that captures many essential properties of the online...

We develop a dynamic political economy model in which investment in the state capacity to levy taxes and deter crime is a policy variable, and we study the evolution of state capacity when policy is chosen by an elite. We show that democratization in the sense of expansion of the elite leads to...

We study the effects of mass migration from Venezuela on Peruvian labor markets. In 2017–2018, about 870,000 Venezuelans migrated to Peru; about 84% settled in the Lima metropolitan area, where the percentage of Venezuelans in the working age population went from nil to over 10%. Migrants were...

We investigate empirically the extent of misreporting in a poverty alleviation program in which self-reported information, followed by a household visit, is used to determine eligibility. In the model we propose and estimate, underreporting may be due to a deception motive, and overreporting to...