Economics
Vicarious learning is a vital component of organizational learning. We theorize and model two fundamental processes underlying vicarious learning: observation of actions (learning what they do) vs. belief sharing (learning what they think).…
Tax compliance among small businesses remains low in developing countries, yet little is known about how regional context shapes the effectiveness of enforcement strategies. Both theory and evidence suggest an ambiguous relationship between…
Instrumental variables (IV) are often used to identify causal effects in observational settings and experiments subject to non-compliance. Under canonical assumptions, IVs allow us to identify a so-called local average treatment effect…
The "design phase" refers to a stage in observational studies, during which a researcher constructs a subsample that achieves a better balance in covariate distributions between the treated and untreated units. In this paper, we study the…
The recursive logit (RL) model has become a widely used framework for route choice modeling, but it suffers from a key limitation: it assigns nonzero probabilities to all paths in the network, including those that are unrealistic, such as…
In this paper, we revisit parameter estimation for multinomial logit (MNL), nested logit (NL), and tree-nested logit (TNL) models through the framework of convex conic optimization. Traditional approaches typically solve the maximum…
Time-varying electricity pricing better reflects the varying cost of electricity compared to flat-rate pricing. Variations between peak and off-peak costs are increasing due to weather variation, renewable intermittency, and increasing…
We show that Poisson regression, though often recommended over log-linear regression for modeling count and other non-negative variables in finance and economics, can be far from optimal when heteroskedasticity and sparsity -- two common…
In the coming decade, artificially intelligent agents with the ability to plan and execute complex tasks over long time horizons with little direct oversight from humans may be deployed across the economy. This chapter surveys recent…
The paper compares two types of industrial organization in the Cournot duopoly: (a) the classical one, where the market players maximize profits and the outcome of the game is a Cournot-Nash equilibrium; (b) a contest in which players…
This paper introduces the Index of Future Readiness (IFR), a novel framework for assessing a country's capacity to withstand, adapt to, and prosper within an environment of continuous and accelerating change. The framework builds on the…
This paper develops a qualitative framework for analysing the impact of rumours on complex investment decisions (CID) under severe information constraints. The proposed trend-based models rely on minimal data inputs in the form of…
Measured aggregate productivity and the income share of top earners are strongly and positively correlated in the Canadian data. Productivity slowdown since the early 2000s was accompanied with a flattening income share of top earners.…
This paper characterizes convex information costs using an axiomatic approach. We employ mixture convexity and sub-additivity, which capture the idea that producing "balanced" outputs is less costly than producing ``extreme'' ones. Our…
This paper synthesizes evidence on climate change impacts specific to U.S. populations. We develop an apples-to-apples comparison of econometric studies that empirically estimate the relationship between climate change and gross domestic…
Premium air travel is often associated with a disproportionately large carbon emissions footprint. This association reflects the increased space and amenities typically found in premium cabins that existing discourse suggests makes their…
Ordered response scales are ubiquitous in economics, but their interpretation rests on an untested assumption: that numerical labels reflect equal psychological intervals. The contribution of this paper is to provide a systematic assessment…
We examine the behavioral impact of a user location disclosure policy on Sina Weibo, China's largest microblogging platform, using a unique high-frequency dataset of uncensored engagement, including tens of thousands of comments and…
This study examines the determinants of the spousal age gap (SAG) in India, utilizing data from the 61st and 68th rounds of the National Sample Survey (NSSO). We employ regression analysis, including instrumental variables, to address…
The main aim of this paper is to review recent advances in the multivariate autoregressive index model [MAI], originally proposed by Reinsel (1983), and their applications to economic and financial time series. MAI has recently gained…