In this paper we propose and validate cheating in standardized tests as a new indirect measure of social capital. Given the low-stakes nature of most of the tests examined here, we interpret the widespread presence of cheating as a signal of limited trustin central education authorities....

In this paper we analyze the role played by self-confidence, modeled as beliefs about one�s ability, in shaping task choices. We propose a model in which fully rational agents exploit all the available information to update their beliefs using Bayes� rule, eventually learning their...

In the last decade, and especially in the course of the recent global economic slowdown, the gap between southern and northern industry has widened. Industrial investment and employment decreased more sharply in the South than in the rest of Italy, and the contribution of the southern regions to...

The enlargement of the European Union has increased concerns about the role of generous welfare transfers in attracting migrants. This paper explores the issue of welfare migration across the 15 countries of the pre-enlargement Union and finds a significant but small effect of the generosity of...

In this paper we investigate whether peers’ behavior influences the choice of college major. Using a unique dataset of students at Bocconi University and exploiting the organization of teaching at this institution, we are able to identify the endogenous effect of peers on such decision through...

In this paper, we demonstrate that, in a context where peer groups do not overlap fully, it is possible to identify all the relevant parameters of the standard linear-in-means model of social interactions. We apply this novel identification structure to study peer effects in the choice of...

In this paper we investigate whether peers' behavior influences the choice of college major, thus contributing to the mismatch of skills in the labor market. Using a newly constructed dataset, we are able to identify the endogenous effect of peers on such decisions through a novel identification...

There is a large literature on social interactions and still little is known about the economic mechanisms leading to the high level of clustering in behavior that is so commonly observed in the data. In this paper we present a model in which agents are allowed to interact according to three...

We study how class size and class composition affect the academic and labor market performance of college students, two crucial policy questions given the secular increase in college enrollment. Our identification strategy relies on the random assignment of students to teaching classes. We find...

Little is known about the economic mechanisms leading to the high level of clustering in behavior commonly observed in the data. We present a model where agents can interact according to three distinct mechanisms, and we derive testable implications which allow us to distinguish between the...