We build a principal-agent-client model of corruption, allowing for heterogeneity in the value of public projects relative to the cost of monitoring their execution and for uncertainty of corruptors regarding the value of a project conducted. We derive the conditions under which officials with...

We report new experimental evidence of the household response to weekday differentials in peak and off-peak electricity prices. The data come from Auckland, New Zealand, where peak residential electricity consumption occurs in winter for heating. Peak/off-peak price differentials ranged over...

Centre-left governments from the 1940s into the 1970s developed several large areas in the urban fringe of Dunedin, New Zealand for low-density, mostly single-family public rental housing. The public housing in these areas is now accessible, well endowed with natural amenities, and allocated to...

We analyze an equilibrium search model where buyers seek to purchase a good before a deadline and face uncertainty regarding the availability of past price quotes in the future. Sellers cannot observe a potential buyer's remaining time until deadline nor his quote history, and hence post prices...

In this paper we are concerned with the simulation of non-optimal dynamic economies. The equilibrium laws of motion of these economies cannot be characterized by the methods of dynamic programming and may not be described by continuous policy functions. We prove existence of an invariant...

We analyze vertical relationships between a manufacturer and competing retailers when consumers have reference-dependent preferences. Consumers adopt the manufacturer's suggested retail price as their reference price and perceive losses when purchasing above the suggested price and gains when...

This paper provides a general framework for the quantitative analysis of stochastic dynamic models. We review convergence properties of some numerical algorithms and available methods to bound approximation errors. We then address convergence and accuracy properties of the simulated moments. Our...

The average quality of spouse an individual marries varies significantly with age at marriage, peaking in the mid-twenties, then declining through the mid-forties, as does the hazard rate of marriage. Using a non-stationary sequential search model, we identify the search frictions that generate...

We show that informative political campaigns can increase political extremism and decrease voter welfare. We present a model of elections in which candidate ideology is strategically selected prior to a campaign which reveals information about candidate quality. Documented means by which...

This paper is concerned with growth patterns of US health care expenditures. Within a representative sample of OECD countries, we lay out a growth accounting exercise for health care expenditures to assess the influence of several explanatory variables. Our analysis demonstrates that the...