This paper shows that standard empirical methods for estimating log-linearized consumption Euler equations cannot successfully uncover structural parameters like the coefficient of relative risk aversion from a dataset of simulated consumers behaving exactly according to the standard model...

This paper develops a new methodology that makes use of the factor structure of large dimensional panels to understand the nature of non-stationarity in the data We refer to it as PANIC - a 'Panel Analysis of Non-stationarity in Idiosyncratic and Common components' PANIC consists of univariate...

The purpose of this paper is to develop a model that integrates inventory and labor decisions We extend a model of inventory behavior to include a detailed specification of the role of labor input in the production process and of the costs associated with it In particular we distinguish between...

We propose a two-stage instrumental variable estimator that is consistent if there is a selective compliance in the treatment group of a randomized experiment and the outcome variable is a censored duration The estimator assumes full compliance in the control group We use the estimator to...

This paper challenges the conventional view according to which disinflations in LAC-even from low and moderate peaks-have been carried out at no cost to output. After suggesting a new methodology that allows for long-lived effects and inflation inertia when measuring costs of disinflations,...

This paper compares the dynamics of two general equilibrium models of endogenous growth in which agents have comparison utility In the inward-looking economy individuals care about how their consumption in the current period compares to their own consumption in the past (one way to describe this...

We present results on the existence of pure strategy Nash equilbria in nonatomic games We also show by means of counterexamples that the stringent conditions on the cardinality of actions sets cannot be relaxed and thus resolve questions which have remained open since Schmeidler's 1973 paper

We show that the main theorem in Al-Najjar's 1995 Econometrica paper is false We provide additional references for the residual implications that are valid but point our that these standard implications are incapable of bearing the interpretative weight that Al-Najjar places on them

The process by which high-level office-holder are selected is shown to result in pure office-seeking politicians looking like ideologues