Subjective expectations about future policy play an important role in individuals' welfare. We examine how workers' expectations about pension reform vary with proximity to reforms, information cost, and aggregate information acquisition. We construct a new pan-European dataset of reform...

This paper lays out an approach, and a research agenda, for assessing the impact of carbon pricing on household budgets, and of possible compensatory government transfers that can be financed through carbon-tax revenues. It relies on a rich set of available data and policy models and combines...

We present an experiment to investigate the source of disappointment aversion in a sequential real-effort competition. Specifically, we study the contribution of social comparison effects to the disappointment aversion previously identified in a two-person real-effort competition (Gill and...

In the context of income dynamics, we investigate whether aspects of agents' superior information relative to the econometrician's limited information are captured in subjective expectations data. It is natural, for instance, to assume that the econometrician cannot observe idiosyncratic shocks...

In a simple conceptual framework, we organize a multitude of phenomena related to the (mis)prediction of utility. Consequences in terms of distorted choices and lower wellbeing emerge if people have to trade-off between alternatives that are characterized by attributes satisfying extrinsic...

An important advance in the study of reference-dependent preferences is the discipline provided by coherent accounts of reference point formation. Kőszegi and Rabin (2006) provide such discipline by positing a reference point grounded in rational expectations. We examine the predictions of...

In addition to realized earnings and employment shocks, forward-looking individuals are presumed to condition their consumption and labor supply decisions on their subjective beliefs about future labor market risks. This paper analyzes these perceptions of earnings and employment risks using...

Income is an important correlate for numerous phenomena in the social sciences. But manysurveys collect data with just a single question covering all forms of income. This raisesissues of quality, and these are heightened when individuals are asked about the householdtotal rather than own income...

The March Current Population Survey (CPS) is the primary data source for estimation oflevels and trends in labor earnings and income inequality in the USA. Time-inconsistencyproblems related to top coding in theses data have led many researchers to use the ratio ofthe 90th and 10th percentiles...

Smallholder farming dominates agriculture in poorer countries. Yet, traditional recall-based surveys on smallholder farming in these countries face challenges with seasonal variations, high survey costs, poor record-keeping, and technical capacity constraints resulting in significant recall...