Traditional value of medical innovation models estimate the benefits of a new treatment to individuals who fall sick ex-post. However, economic theory suggests medical innovation has additional benefits ex-ante - before susceptible individuals know whether or not they will fall sick. This paper...

We discuss the development of policy rules at the University of Chicago and compare those rules with modern, Taylor-type rules. A key feature of the 1930s Chicago approach was the view that discretionary monetary policy has a destabilizing effect on the economy. Empirical confirmation of this...

Medical innovations have improved survival and treatment for many diseases but have simultaneously raised spending on health care. Many health economists believe that technological change is the major factor driving the growth of the heath care sector. Whether quality has increased as much as...

Non-adherence in health care results when a patient does not initiate or continue care that a provider has recommended. Previous research identifies non-adherence as a major source of waste in US health care, totaling approximately 2.3% of GDP, and has proposed a plethora of interventions to...

Medical research and development (R&D) differs from other R&D because of a unique linkage between output and input markets for medical products: potential consumers of existing medical products are also potential subjects in clinical trials required to develop new products. Therefore, an...

Despite the great deal of research on dynamic inconsistency in time preferences, few studies have ventured into investigating the question in a natural context. To address this gap, we conduct a natural field experiment with over 200 customers at a grocery store to investigate dynamic...

I examine how firms strategically bundle news reports to offset the negative effects of a privacy breach disclosure. Using a complete dataset of privacy breaches from 2005 to 2014, I find that firms experience a small and significant 0.27% decrease in their stock price on average following the...

This paper uses a large natural field experiment to identify the effects of formal savings on interhousehold transfers in villages, and the spillover impacts of service-expansion on de facto ineligibles residing in the same community. Despite widespread interest in microfinance, spillover...

This paper examines the relationship between income, pollution, and mortality in China from 1991-2012. Using first-difference models, we document a robust positive association between city-level GDP and life expectancy. We also find a negative association between city level particulate air...

We develop new evidence on the cumulative earnings losses associated with job displacement, drawing on longitudinal Social Security records for U.S. workers from 1974 to 2008. In present value terms, men lose an average of 1.4 years of re-displacement earnings if displaced in mass layoff events...