Search Publications

Effort and Performance: What Distinguishes Interacting and Noninteracting Groups from Individuals?

We study how group membership affects behavior both when group members can and cannot interact with each other. Our goal is to isolate the contrasting forces that spring from group membership: a free-riding incentive leading to reduced effort and a sense of social responsibility that increases effort. In an environment with varying task difficulty and individual decision making as the benchmark, we ...

A Note on Networks of Collaboration in Multi-market Oligopolies

In this note, we extend the Goyal and Joshi’s model of collaboration networks in oligopoly to multi-market situations. We examine the incentive of firms to form links and the architectures of the resulting equilibrium networks in this setting. We then present some results on efficient networks.

Assessing Energy Price Induced Improvements in Efficiency of Capital in OECD Manufacturing Industries

To assess how capital stocks adapt to energy price changes, it is necessary to account for the impacts on different vintages of capital and to account separately for price-induced and autonomous improvements in the energy efficiency of capital stock. The results of econometric analysis for five manufacturing industries in 19 OECD countries between 1990 and 2005 indicate that higher energy prices resulted ...

Parental Leave and Domestic Work of Mothers and Fathers: A Longitudinal Study of Two Reforms in West Germany

Following two parental leave reforms in West Germany, this research explores how child care and housework time changed among couples who have just had a child. The reform in 1992 extended the low paid or unpaid parental leave period, whereas the 2007 reform introduced income-dependent compensation and two "daddy months". This study contributes to the literature by examining different mechanisms on ...

Information Asymmetry and Reentry

Generating Skilled Self-Employment in Developing Countries: Experimental Evidence from Uganda

We study a government program in Uganda designed to help the poor and unemployed become self-employed artisans, increase incomes, and thus promote social stability. Young adults in Uganda's conflict-affected north were invited to form groups and submit grant proposals for vocational training and business start-up. Funding was randomly assigned among screened and eligible groups. Treatment groups received ...

The Effects of Expanding the Generosity of the Statutory Sickness Insurance System

This article evaluates an expansion of employer-mandated sick leave from 80% to 100% of forgone gross wages in Germany. We employ and compare parametric difference-in-difference (DID), matching DID and mixed approaches. Overall workplace absences increased by at least 10% or 1 day per worker per year. We show that taking partial compliance into account increases coefficient estimates. Further, heterogeneity ...

Collusion through Joint R&D: An Empirical Assessment

This paper tests whether upstream R&D cooperation leads to downstream collusion. We show that a sufficient condition for identifying collusive behavior is a decline in the market share of RJV-participating firms. Using information from the U.S. National Cooperation Research Act, we estimate a market share equation correcting for the endogeneity of RJV participation and R&D expenditures. We find robust ...

Individual Differences in Social Comparison and Its Consequences for Life Satisfaction: Introducing a Short Scale of the Iowa-Netherlands Comparison Orientation Measure

Research in social psychology has shown individual variation in the tendency to compare one's own opinions and abilities with those of other people, raising the question of whether social comparisons are psychological dispositions. To test the empirical validity of this proposition, Gibbons and Buunk (1999) created an instrument, the Iowa-Netherlands Comparison Orientation Measure (INCOM), that measures ...

Is Sequential Estimation a Suitable Second Best for the Estimation of Hybrid Choice Models?

The simultaneous estimation method has overtaken the sequential approach as the preferred estimation method for hybrid discrete choice models. Notwithstanding, the computational cost of the simultaneous estimation can be prohibitive when models become more involved, and in such cases sequential estimation can still be a potent option. In previous work a theoretical analysis was conducted that led to ...