Women work disproportionately in low-hours jobs, which pay lower wages and are more exposed to minimum-wage policies. We estimate an equilibrium search model with worker and firm heterogeneity, jobs ...

We study why US college graduation gaps by gender and race widened across cohorts. We develop a dynamic life-cycle model with endogenous education, labor supply, marriage, fertility, and welfare part...

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Are firms risk averse? We propose a dynamic model of firm investment under uncertainty that captures firms' risk attitudes through quantile preferences. The firm maximizes its present value, defined ...

The paper shows that population aging can reduce the welfare cost to individuals of a persistent negative local shock, because slower out-migration restrains forward-looking capital disinvestment and....

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This paper examines the effect of idiosyncratic uncertainty on trade elasticities in a canonical heterogeneous-firm model. We identify two channels through which uncertainty affects elasticities: a s...

This paper studies aggregate markup cyclicality through firm-level heterogeneity, reallocation, and aggregation. Using the U.S. firm data for 1990–2016, we find that markups are procyclical for young...

Hospital payment schemes designed to control expenditure could also influence the medical resource allocation. We study hospital responses to the introduction of a blended payment scheme—a diagnosis-...

To study how college-admissions competition shapes parental investment and child-development policies, we develop a heterogeneous-agent life-cycle model in which parents invest in children's human ca...

How does infrastructure shape rural development? Using household panel data from a nationally representative sample of Chinese villages, matched to high-resolution highway maps, we find that road exp....

We present a model showing that when the demand for labor services is inelastic and individual behavior is imperfectly monitored, a firm's employees may prefer to protect its shirkers and conceal inf...

We develop a growth model that endogenizes the occupational choice of workers with different ability levels to study how digitalization affects labor income inequality. The framework incorporates dig....

This paper studies how population aging shapes regional adjustment to local shocks. I develop a dynamic spatial general equilibrium model that incorporates aggregate demographic change, life-cycle va...

The gradual rise in temperatures motivates conceptualizing climate change as a phenomenon shaping the propagation of macroeconomic shocks, rather than as an independent shock. We formalize this in a ...

This study proposes a novel methodology to measure the stringency of building height regulations. This measure gauges the difference in building heights with and without regulations. The primary chal...

We study the impact of techies—engineers and other technically trained workers—on firm-level productivity. We first report new facts on techies in the firm using French administrative data. Techies a...

We study the distributional implications of uncertainty shocks by developing a model that links macroeconomic aggregates to the US distribution of earnings and consumption. Our findings suggest that ....

Larger firms feature (i) longer hours worked, (ii) higher wages, and (iii) smaller (larger) wage penalties for working long (short) hours. We reconcile these patterns in a general equilibrium model, ...

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We show that politicians facing a binding term limit are more likely to engage in financial deliberalization than those facing reelection, but only in the wake of a financial crisis. In particular, t...

In this paper, we study optimal prevention in the presence of a correlated nonfinancial background risk. Under positive correlation, cross-prudence in the nonfinancial attribute reduces optimal preve....

We study social security reforms in economies with segmented labor markets and pension systems. We develop a life-cycle general equilibrium model with heterogeneous agents and endogenous retirement a....

We quantify the role of heterogeneity in households' financial constraints in explaining the link between the decline in aggregate consumption and the decline in house values between 2006 and 2009 us...

The gender gap in non-agricultural employment in developing countries is concentrated among rural married workers. Within-family specialization is central: Married women spend more time on home produ...

We explore implications of social status concerns for redistribution, income inequality, and growth in a political economy framework. Salience of such concerns leads to a propagation mechanism, where...

We quantitatively analyze the impact of US banking deregulation in the 1980s on the aggregate economy. Using recent econometric techniques, we first reexamine existing empirical evidence on the real ...

We analyze market entry efficiency in single- and two-sector closed-economy Melitz–Ottaviano (MO) models without an outside good. Comparing market and second-best outcomes, we find that market entry ...

We develop a rational, Walrasian model of speculative bubbles inspired by the Kindleberger–Minsky view, which describes bubbles as wave-like market processes. Touched off by an initial shock, price b...

College loans facilitate access to education, but the repayment burden may distort posteducation human capital investment. We examine the role of college loans and loan repayment policies through a s...

We develop a structural framework to identify the sources of cross-state heterogeneity in response to U.S. tariff changes. A unilateral 25-percentage-point U.S. tariff increase across sectors induces...

Heterogeneous agent incomplete markets models offer a new perspective on price and inflation determination. In contrast to complete markets, the price level is determined from the asset-market cleari...

We investigate whether different criteria are used in evaluating male and female leaders when outcomes are determined by unobservable choices and luck. Evaluators form beliefs about leaders’ choices ...

I study a novel two-way feedback between credit and labor market frictions. Running from credit to labor markets, amplitude in capital demand caused by collateral constraints spills over onto labor d...

We embed labor market monopsony into a dynamic heterogeneous-firm general equilibrium model with exporting, horizontal FDI, and rich firm lifecycle dynamics. Rising marginal costs with monopsony slow....

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From 2006 until 2020, the probability of selling a house in the U.S. declined sharply after listing for 2 weeks. Moreover, sales within the first 2 weeks of listing (“quick sales”) and sales happenin...

How does the targeting of personal income tax cuts affect the output multiplier? This paper provides quantitative evidence using a heterogeneous-agent New-Keynesian model calibrated to match US distr....

We investigate a land policy in China that allocated more urban land quotas to underdeveloped regions to reduce regional gaps. Empirically, the policy decreased productivity in eastern areas relative...

We study the evolution of China's production and trade patterns during its integration into the global economy. Using firm-level microdata, we document how production and exports shifted across indus...

Economists have long studied how parental behavior shapes within-family inequality, yet empirical findings remain mixed. Using twins data from China and Sweden, we examine the predominant mechanisms ...

We establish connections between dynamic mode decompositions (DMDs), vector autoregressions, and linear state-space models, showing that DMD provides a computationally efficient, SVD-based estimator ...

We document that 11 percent of recent U.S. high school graduates did not apply for federal student aid due to difficulty in applying, mistaken beliefs, or lack of awareness. Not applying due to such ...

We document how childcare costs and the location of extended family influence the labor supply and mobility of US women. Women return to their home locations immediately before fertility events, sugg...

We study a signaling game where agents signal their type by choosing when to quit pursuing an uncertain project. High types observe news about project quality and quit when bad news arrives. Low type...

Using a nonlinear VAR, we examine the asymmetric effects of shocks to long-run inflation expectations. Negative shocks, which temporarily lower long-run inflation expectations, have a stronger and mo...