The Henry George Theorem (HGT) in static models states that when a city has an optimal population size, aggregate urban differential land rents exactly cover costs of pure public goods. This paper extends the static HGT to dynamic settings. Through a series of dynamic models, the paper...

How should taxes on externality-generating activities be adjusted if they are regressive? In our model, the government raises revenue using distortionary income and commodity taxes. If more or less productive people have identical tastes for externality-generating consumption, the government...

This study presents results from a randomized controlled trial involving 1,085 participants in Switzerland that have access to an E-bike, a car, and public transport. The participants’ transport choices are monitored by means of a GPS-based tracking app. The treatment consists in a monetary...

Experimentation is at the core of innovation. This project studies collaborative experimentation in teams, focusing on the inherent two-dimensional free-riding problem induced by payoff and informational externalities. The discouraging force of observing others' unsuccessful experimentation and...

Many employees work more than they would prefer. This paper examines whether social comparisons contribute to this mismatch by inducing individuals to prioritize income over leisure. I use a within-subject survey experiment with university students in which participants repeatedly choose between...

This paper studies a large class of multi-agent contracting models with the property that agents' payoffs constitute a weighted potential game. Multiple equilibria arise due to agents' strategic interactions. I fully characterize a contracting scheme that is optimal for the principal for all...

U.S. equity outperformance and sustained dollar appreciation have led to large valuation gains for the rest of the world on the U.S. external position. I construct their global distribution, carefully accounting for the role of tax havens. Valuation gains are concentrated and large in developed...

We investigate how fuel taxation reduces climate and pollution externalities by evaluating the world’s largest environmental tax reform. Using spatially detailed emissions data from more than 1,000 European regions in a synthetic difference-in-differences framework, we evaluate the impact of...

We examine the welfare effects of removing explicit and implicit fossil fuel subsidies, the latter entailing Pigouvian pricing of local externalities from fossil energy consumption. We map a multi-region, multi-sector general equilibrium model to granular data on subsidies, local marginal...

We propose a theoretical model in which uninformed consumers update their beliefs about the health effects of sugar in soft drinks through two sequential policies: an information campaign and a sugar tax. The information campaign is modeled as a costless signal (cheap talk), while the tax policy...

The purpose of this research is to propose a methodological framework for strategically prioritising infrastructure investments in areas with significant spatial concentration of economic activity. Such concentration generates agglomeration externalities, positively influencing economic growth...

Standard economic theory assumes that consumers ignore the externalities they create, such as emissions from burning fossil fuels and generating waste. In an incentivized study (N = 3, 718), we find that most people forgo substantial gains to avoid imposing negative externalities on others....

Standard economic theory assumes that consumers ignore the externalities they create, such as emissions from burning fossil fuels and generating waste. In an incentivized study (N = 3, 718), we find that most people forgo substantial gains to avoid imposing negative externalities on others....

Standard economic theory assumes that consumers ignore the externalities they create, such as emissions from burning fossil fuels and generating waste. In an incentivized study (N = 3, 718), we find that most people forgo substantial gains to avoid imposing negative externalities on others....