Extracting Inflation from Stock Returns to Test Purchasing Power Parity

By Bhagwan Chowdhry, Richard Roll, and Yihong Xia

American Economic Review, March 2005

Relative purchasing power parity (PPP) holds for pure price inflations, which affect prices of all goods and services by the same proportion, while leaving relative prices unchanged. Pure price inflations also affect nominal returns of all traded financia...

The Quantity and Quality of Life and the Evolution of World Inequality

By Gary S. Becker, Tomas J. Philipson, and Rodrigo R. Soares

American Economic Review, March 2005

GDP per capita is usually used to proxy for the quality of life of individuals living in different countries. Welfare is also affected by quantity of life, however, as represented by longevity. This paper incorporates longevity into an overall assessment ...

Distance, Time, and Specialization: Lean Retailing in General Equilibrium

By Carolyn L. Evans and James Harrigan

American Economic Review, March 2005

Transport time increases with distance traveled, and time is valuable. We show the implications of these facts for global specialization and trade: products where timely delivery is important will be produced near the source of final demand, where wages w...

How to Protect Future Generations Using Tax-Base Restrictions

By Antonio Rangel

American Economic Review, March 2005

This paper studies how to protect future generations from expropriation and to induce optimal investment in intergenerational public goods (IPGs), by introducing constitutional restrictions on the tax base. The type of tax-base restrictions that we consid...

Complementarities between Outsourcing and Foreign Sourcing

By Gene M. Grossman, Elhanan Helpman, and Adam Szeidl

American Economic Review, May 2005

Property Rights and the International Organization of Production

By Pol Antràs

American Economic Review, May 2005

Foreign Direct Investment and the Domestic Capital Stock

By Mihir A. Desai, C. Fritz Foley, and James R. Hines Jr.

American Economic Review, May 2005

Federalism and the Democratic Transition: Lessons from South Africa

By Robert P. Inman and Daniel L. Rubinfeld

American Economic Review, May 2005

The Labor-Market Impact of High-Skill Immigration

By George J. Borjas

American Economic Review, May 2005

Fellowship Stipend Support and the Supply of Science and Engineering Students: NSF Graduate Research Fellowships

By Richard B. Freeman

American Economic Review, May 2005

Do Returns to Schooling Differ by Race and Ethnicity?

By Lisa Barrow and Cecilia Elena Rouse

American Economic Review, May 2005

Tax-Transfer Policy and Labor-Market Outcomes

By Nada Eissa and Austin Nichols

American Economic Review, May 2005

Tracing the Economic Impact of Cumulative Discrimination

By Rebecca M. Blank

American Economic Review, May 2005

"Dysfunctional Identities" Can Be Rational

By Hanming Fang and Glenn C. Loury

American Economic Review, May 2005

Employer Learning, Statistical Discrimination and Occupational Attainment

By Joseph G. Altonji

American Economic Review, May 2005

Learning and Statistical Discrimination

By Lawrence E. Blume

American Economic Review, May 2005

Positional Externalities Cause Large and Preventable Welfare Losses

By Robert H. Frank

American Economic Review, May 2005

Value of a Statistical Life: Relative Position vs. Relative Age

By Thomas J. Kniesner and W. Kip Viscusi

American Economic Review, May 2005

Are Positional Concerns Stronger in Some Domains than in Others?

By Sara J. Solnick and David Hemenway

American Economic Review, May 2005

Do Faculty Serve as Role Models? The Impact of Instructor Gender on Female Students

By Eric P. Bettinger and Bridget Terry Long

American Economic Review, May 2005