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We investigate the macroeconomic impacts of extreme weather shocks on the United States economy over the past sixty years. To identify changes in extreme weather patterns, we use the Actuaries Climate Index, which tracks changes in extreme temperatures, heavy rainfall, drought, high wind, and...
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We use survey data to document a strong heterogeneity in stated degrees of worry about environmental problems across racial groups. Minorities are significantly more worried about air and water pollution than their white counterparts, even after controlling for socioeconomic factors and...
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I show that reputation alone can sustain nominal sovereign debt, which is subject to both the risks of default and opportunistic devaluations. Nominal debt combined with a countercyclical exchange rate policy allows more hedging against shocks than real savings if markets are incomplete. Thus,...
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