Reallocation and Technology: Evidence from the US Steel Industry

By Allan Collard-Wexler and Jan De Loecker

American Economic Review, January 2015

We measure the impact of a drastic new technology for producing steel—the minimill—on industry-wide productivity in the US steel industry, using unique plant-level data between 1963 and 2002. The sharp increase in the industry's productivity is linked...

Efficient Procurement Auctions with Increasing Returns

By Oleg Baranov, Christina Aperjis, Lawrence M. Ausubel, and Thayer Morrill

American Economic Journal: Microeconomics, August 2017

For procuring from sellers with decreasing returns, there are known efficient dynamic auction formats. In this paper, we design an efficient dynamic procurement auction for the case where goods are homogeneous and bidders have increasing returns. Our moti...

Teaching a Behavioral Economics Elective: Highlighting the Science of Economics

By Ted O'Donoghue

American Economic Review, May 2015

In this paper, I provide an overview of how one might teach an advanced undergraduate elective on Behavioral Economics. While I focus on the structure and themes from my own course, I also attempt to highlight ways in which instructors might choose an alt...

Naked Exclusion: Reply

By Eric B. Rasmusen, J. Mark Ramseyer, and John Shepard Wiley

American Economic Review, March 2000

Monetary-Fiscal Policy Interactions and Indeterminacy in Postwar US Data

By Saroj Bhattarai, Jae Won Lee, and Woong Yong Park

American Economic Review, May 2012

Using a micro-founded model and a likelihood-based inference method, we show that while a passive monetary and passive fiscal policy regime prevailed in the U.S. before Paul Volcker's chairmanship at the Federal Reserve, an active monetary and passive fis...

Home Bias in Open Economy Financial Macroeconomics

By Nicolas Coeurdacier and Hélène Rey

Journal of Economic Literature, March 2013

Home bias is a perennial feature of international capital markets. We review various explanations of this puzzling phenomenon highlighting recent developments in macroeconomic modeling that incorporate international portfolio choices in standard twocountr...

Interest Rate Risk and Other Determinants of Post-WWII US Government Debt/GDP Dynamics

By George J. Hall and Thomas J. Sargent

American Economic Journal: Macroeconomics, July 2011

This paper uses a sequence of government budget constraints to motivate estimates of returns on the US Federal government debt. Our estimates differ conceptually and quantitatively from the interest payments reported by the US government. We use our esti...

Another Look at Airport Congestion Pricing

By Steven A. Morrison and Clifford Winston

American Economic Review, December 2007

We study alternate approaches to implement congestion pricing at US airports. Conventional formulations toll all aircraft without determining whether a plane operated by a given airline delays other planes that it operates or planes operated by other airl...

Telecommunications Deregulation

By Jerry A. Hausman and William E. Taylor

American Economic Review, May 2012

From Fred Kahn's writings and experiences as a telecommunications regulator and commenter, we draw the following conclusions: prices must be informed by costs; costs are actual incremental costs; costs and prices are an outcome of a Schumpeterian competit...

The Determinants and Consequences of School Choice Errors in Kenya

By Adrienne M. Lucas and Isaac M. Mbiti

American Economic Review, May 2012

School choice systems designed to help disadvantaged groups might be hindered by information asymmetries. Kenyan elite secondary schools admit students from the entire country based on a national test score, district quotas, and stated school choices. We ...

Measuring How Fiscal Shocks Affect Durable Spending in Recessions and Expansions

By David Berger and Joseph Vavra

American Economic Review, May 2014

We estimate how durable expenditures respond to government spending shocks at different points in the business cycle using a nonlinear VAR approach that allows for the durable multiplier to vary smoothly with the state of the economy. We find strong evide...

Economists and Field Research: "You Can Observe a Lot Just by Watching."

By Susan Helper

American Economic Review, May 2000

Individual Time Preferences and Energy Efficiency

By Richard G. Newell and Juha Siikamäki

American Economic Review, May 2015

We examine the role of individual discount rates in energy efficiency decisions using evidence from an extensive survey of US homeowners to elicit preferences for energy efficiency and cash flows over time. We find considerable heterogeneity in individual...

Appeasement: Can It Work?

By Jack Hirshleifer

American Economic Review, May 2001

Product Markets and 1992: Full Integration, Large Gains?

[Symposium: Europe in 1992]

By Harry Flam

Journal of Economic Perspectives, Fall 1992

The goal of the '"1992" program is to complete by January 1, 1993, what the European Community set out to do in 1957: create a common market with a free flow of goods, services, labor, and capital. If the program is completed, the twelve member countries ...

Minutes of the Meeting of the Executive Committee: Chicago, IL, April 24, 2015

By Peter L. Rousseau

American Economic Review, May 2016

On Quitting Rights in Mechanism Design

By Olivier Compte and Philippe Jehiel

American Economic Review, May 2007

Are Speculators Unwelcome in Multi-object Auctions?

By Marco Pagnozzi

American Economic Journal: Microeconomics, May 2010

I consider a uniform-price auction under complete information. The possibility of resale attracts speculators who have no use value for the objects on sale. A high-value bidder may strictly prefer to let a speculator win some of the objects and then buy i...

How Big Are Total Individual Income Tax Expenditures, and Who Benefits from Them?

By Leonard E. Burman, Christopher Geissler, and Eric J. Toder

American Economic Review, May 2008

Moderating Political Extremism: Single Round versus Runoff Elections under Plurality Rule

By Massimo Bordignon, Tommaso Nannicini, and Guido Tabellini

American Economic Review, August 2016

We compare single round versus runoff elections under plurality rule, allowing for partly endogenous party formation. Under runoff elections, the number of political candidates is larger, but the influence of extremist voters on equilibrium policy, and he...