In 1966, the irrigation community in Mula (Murcia, Spain) switched from a market (auction), which had been in place in the town for over 700 years, to a system of fixed quotas with a ban on trading, to allocate water from the town's river. We present a model, in which farmers face liquidity...

We provide a new method for estimating hedonic functions in a metropolitan housing market for both rental rates and real estate asset prices. First, our method treats housing quality as unobserved by the econometrician. Second, it deals with the problem that implicit rental rates for...

The recent experience of a Great Recession has brought the effectiveness of fiscal policy back into focus. Fiscal multipliers do, however, vary greatly over time and place. Running VARs for a large number of countries, we document a strong correlation between wealth inequality and the magnitude...

I demonstrate how scientific models of pollution processes can be leveraged in quasi-experimental econometric designs to credibly estimate the impacts of environmental quality on health or other outcomes while also improving precision and external validity over previous approaches. I simulate...

This paper develops a life-cycle model with multi-dimensional matching in a frictionless marriage market where a single man's rank is determined by his age and wealth relative to others'. Using stable matching patterns, we analyze how people's marital age and saving behavior jointly respond to...

I characterize the constrained efficient (or planner's) allocation in a directed (competitive) search model with private information. There are sellers with private information on one side of the market and homogeneous buyers on the other side. They match bilaterally in different submarkets and...

I use the term structure model in Cochrane and Piazzesi (2008) and construct currency market prices. The implied currency market prices are counterfactually volatile and predictable, at least with respect to commonly used predictor variables. Getting the model closer to currency market data...

Emission standards are one of the major policy tools to reduce greenhouse gas emissions from transportation. The welfare e¤ects from this type of regulation depend on how …firms choose to abate emissions: by changing relative prices, by downsizing their flÂeet or by adopting technology....

This paper explores the relation between levels of taxation among different types of households in the European Union and the levels of software piracy from 1996 to 2010. It extends previous works introducing a large panel data set for the European Union and its different regions. We estimate...

Time might be the scarcest resource for every individual. Time saving should be one of a few specific starting points of Economics. Utility theory is not a perfect theory, which heavily depends on a serial of unrealistic assumptions, and sets Economics on the shifting sands. Time saving could be...