This paper shows that peer pressure may lead to dynamic convergence to a norm that is skewed with respect to preferences in society, yet is endogenously upheld by the population. Moreover, a skewed norm will often be more sustainable than a representative norm. This may explain the skewness of...

This paper studies the aggregate distribution of declared opin- ions and behavior when heterogeneous individuals make the trade- off between being true to their private opinions and conforming to an endogenous social norm. The model sheds light on how various punishment regimes induce conformity...

This paper studies the dynamic process of revolutions and mass protests. In a unified framework we explain three classes of revolutions that have been observed historically and earlier models cannot explain: 1) a revolution where the most extreme opponents of the regime protest fiercely and...

This paper analyzes the equilibrium strength of prescriptive norms to contribute to public goods. We consider three methods of establishing what an acceptable contribution to the public good is. Under the first method, the contribution of the bottom contributor is the reference point by which...

This paper shows that a seemingly simple assumption, regarding the time horizon of economic agents, can reconcile the puzzling long run price dynamics of exhaustible resources such as oil, gas and metals. It does so by exploring the possibility that economic agents use a rolling planning...