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The Private Provision of Public Services: Evidence from Random Assignment in Medicaid

By Danil Agafiev Macambira, Michael Geruso, Anthony Lollo, Chima D. Ndumele, and Jacob Wallace

American Economic Review, June 2026

This paper examines the effects of privatizing social health insurance. We exploit a natural experiment in Medicaid, wherein nearly 100,000 enrollees were randomly assigned between a publicly operated fee-for-service system and private managed care. Manag...

Quality Adjustment at Scale: Hedonic versus Exact Demand-Based Price Indices

By Gabriel Ehrlich, John Haltiwanger, Ron Jarmin, David Johnson, Ed Olivares, Luke Pardue, Matthew D. Shapiro, and Laura Yi Zhao

American Economic Review, June 2026

Item-level transactions data yield cost-of-living indices that can account for quality change and consumer substitution. Transactions data require confronting the rapid turnover of items because prices of new and existing products are interrelated in equi...

Elite Universities and the Intergenerational Transmission of Human and Social Capital

By Andrés Barrios-Fernández, Christopher Neilson, and Seth Zimmerman

American Economic Review, June 2026

Do elite colleges help talented students join the social elite or help incumbent elites retain their positions? We combine intergenerationally linked data from Chile with a regression discontinuity design to show that, looking across generations, elite co...

Friendship Networks and Political Opinions

By Yann Algan, Nicolò Dalvit, Quoc-Anh Do, Alexis Le Chapelain, and Yves Zenou

American Economic Review, June 2026

We examine how social interactions and friendships shape students' political opinions in a natural experiment at Sciences Po, a leading French university specializing in social and political sciences. The quasi-random assignment of students into short-ter...

Difference-in-Differences Designs: A Practitioner's Guide

By Andrew Baker, Brantly Callaway, Scott Cunningham, Andrew Goodman-Bacon, and Pedro H. C. Sant'Anna

Journal of Economic Literature, June 2026

Difference-in-differences (DiD) is arguably the most popular quasi-experimental research design. Its canonical form, with two groups and two periods, is well understood. However, empirical practices can be ad hoc when researchers go beyond that simple cas...

The Theory of Financial Stability Meets Reality: A Unifying Framework for Bank Regulation and Accounting Discretion

By Nina Boyarchenko, Kinda Hachem, and Anya Kleymenova

Journal of Economic Literature, June 2026

A large literature at the intersection of economics and finance offers prescriptions for regulating banks to increase financial stability. This literature abstracts from the discretion that accounting standards give banks over financial reporting, creatin...