A Model Teacher-Education Program for Economics

By Michael K. Salemi

American Economic Review, May 2003

Animal Spirits Through Creative Destruction

By Patrick Francois and Huw Lloyd-Ellis

American Economic Review, June 2003

We show how a Schumpeterian process of creative destruction can induce rational, herd behavior by entrepreneurs across diverse sectors as if fueled by "animal spirits." Consequently, a multisector economy, in which productivity improvements are made by in...

Wages and Employment in the United States and Germany: What Explains the Differences?

By Paul Beaudry and David A. Green

American Economic Review, June 2003

Over the last 20 years the wage-education relationships in the United States and Germany have evolved very differently, while the education compositions of employment have evolved in a parallel fashion. In this paper, we show how these patterns shed light...

Dynamic Speculative Attacks

By Christophe Chamley

American Economic Review, June 2003

This paper presents a model of rational Bayesian agents with speculative attacks in a regime of exchange rate which is pegged within a band. Speculators learn from the observation of the exchange rate within the band whether their mass is sufficiently lar...

Forward and Backward Intergenerational Goods: Why Is Social Security Good for the Environment?

By Antonio Rangel

American Economic Review, June 2003

This paper studies the ability of nonmarket institutions to invest optimally in forward intergenerational goods (FIGs), such as education and the environment, when agents are selfish or exhibit paternalistic altruism. We show that backward intergeneration...

Risk Sharing and Industrial Specialization: Regional and International Evidence

By Sebnem Kalemli-Ozcan, Bent E. Sørensen, and Oved Yosha

American Economic Review, June 2003

Simple Menus of Contracts in Cost-Based Procurement and Regulation

By William P. Rogerson

American Economic Review, June 2003

Consequences of Bank Distress During the Great Depression

By Charles W. Calomiris and Joseph R. Mason

American Economic Review, June 2003

An Empirical Analysis of the Risk Properties of Human Capital Returns

By Ignacio Palacios-Huerta

American Economic Review, June 2003

Collusive Practices in Repeated English Auctions: Experimental Evidence on Bidding Rings

By Owen R. Phillips, Dale J. Menkhaus, and Kalyn T. Coatney

American Economic Review, June 2003

Estimating the Knowledge-Capital Model of the Multinational Enterprise: Comment

By Bruce A. Blonigen, Ronald B. Davies, and Keith Head

American Economic Review, June 2003

An Asset Allocation Puzzle: Comment

By Haim Shalit and Shlomo Yitzhaki

American Economic Review, June 2003

Endogenous Growth Without Scale Effects: Comment

By Chol-Won Li

American Economic Review, June 2003

Auditors' Report/Audited Financial Statements

American Economic Review, June 2003

Inequality and Growth: Why Differential Fertility Matters

By David de la Croix and Matthias Doepke

American Economic Review, September 2003

We develop a new theoretical link between inequality and growth. In our model, fertility and education decisions are interdependent. Poor parents decide to have many children and invest little in education. A mean-preserving spread in the income distribut...

Plants and Productivity in International Trade

By Andrew B. Bernard, Jonathan Eaton, J. Bradford Jensen, and Samuel Kortum

American Economic Review, September 2003

We reconcile trade theory with plant-level export behavior, extending the Ricardian model to accommodate many countries, geographic barriers, and imperfect competition. Our model captures qualitatively basic facts about U.S. plants: (i) productivity dispe...

Information, Decisions, and Productivity: On-Board Computers and Capacity Utilization in Trucking

By Thomas N. Hubbard

American Economic Review, September 2003

Productivity reflects not only how efficiently inputs are transformed into outputs, but also how well information is applied to resource allocation decisions. This paper examines how information technology has affected capacity utilization in the trucking...

Upward Bias in the Estimated Returns to Education: Evidence from South Africa

By Thomas Hertz

American Economic Review, September 2003

Inflation Persistence and Relative Contracting

By Steinar Holden and John C. Driscoll

American Economic Review, September 2003

The Importance of Group Coverage: How Tax Policy Shaped U.S. Health Insurance

By Melissa A. Thomasson

American Economic Review, September 2003