We study a nonlinear relationship between corporate investment and Tobin’s q in the cross-section. After correcting for nonseparable measurement error in q with the aid of repeated measurement, we find evidence of heterogeneity in the investment-q relation. The investment-q sensitivity is...

Measurement errors and structural breaks are important factors affecting the forecasting accurancy of volatility in the oil futures market. To capture these key points in one uniform forecasting model, we propose the MRS-HARQ-type model by simultaneously introducing the modification of...

We examine economic mobility in India while accounting for misclassification to better understand the welfare e§ects of the rise in inequality. To proceed, we extend recently developed methods on the partial identification of transition matrices. Allowing for modest misclassification, we find...

In this paper we systematically evaluate the impact of using the alternative methods conventionally used in the international literature on the measured incidence of educational mismatch and its earnings effects. We use a rich Australian longitudinal data set for a controlled group of full-time...

Inference of predictive regression over multiple horizons is challenging because of over- lapping observations. We show that the size of the test based on the popular Hodrick standard errors can approach one if the horizon grows at a faster rate than the rotated norm of short-run predictability...

Trade economists measure misreporting at the importer’s customs by comparing the export value reported at the exporter’s customs with the import value reported at the importer’s customs. The more significant the gap, the larger the extent of misreporting by the importer motivated by...