Among college graduates, teachers have both low average AFQT and high average risk aversion, perhaps because the compression of earnings within teaching attracts relatively risk-averse individuals. Using a dynamic optimization model with unobserved heterogeneity, we show that were it possible to...

We use the exchange between Kearney/Levine and Jaeger/Joyce/Kaestner on “16 and Pregnant” to reexamine the use of DiD as a response to the failure of nature to properly design an experiment for us. We argue that 1) any DiD paper should address why the original levels of the experimental and...