Economics Commons^™

Causes And Consequences Of Risk Aversion In Middle Adulthood, Nataliya Rubinchik

Theses and Dissertations

I analyze how risk aversion may affect decision-making over time, what effects risk aversion may have on decisions, and whether one’s level of risk aversion varies over time. I find that risk preferences correlate with certain maternal factors, income, depression, and ethnicity. Risk aversion correlates with financial and health decisions.

Variation In Restaurant Sanitary Scores In New York City, Kyle Gregory

Theses and Dissertations

The purpose of this study was to determine whether restaurants that are homogenous in nature would exhibit substantially different hygiene scores based on the underlying consumer learning behaviors present in the neighborhoods in which the restaurants are located.

Exploring The Effects Of Calorie Labeling Laws, Carmen Vargas

Theses and Dissertations

This study explores the effects of Calorie labeling laws implemented in some counties in the United States on several health related variables. The findings show a small significant decreasing effect of the law on Limited activity and Poor health of 0.083 and 0.047 at 95% significant level respectively.

The Effect Of Health Insurance On Out Of Pocket Expenditure, Andrew M. Bean

Theses and Dissertations

The dependent care provision of the Affordable Care Act went into effect September 2010. This change in insurance policy can be used as a natural experiment to examine the effect of health insurance on healthcare expenditures using a control function two-part model to address endogeneity.

Speeding, Punishment, And Recidivism – Evidence From A Regression Discontinuity Design, Markus Gehrsitz

Economics Working Papers

This paper estimates the effects of temporary driver's license suspensions on driving behavior. A little known rule in the German traffic penalty catalogue maintains that drivers who commit a series of speeding transgressions within 365 days should have their license suspended for one month. My fuzzy regression discontinuity design exploits the quasi-random assignment of license suspensions caused by the 365-day cutoff and shows that 1-month license suspensions lower the probability of recidivating within a year by 20 percent. This effect is not driven by incapacitation and indicates that temporary license suspensions are an effective tool in preventing traffic transgressions.

Equilibrium With Consumer Adjustment To Choice, Matthew G. Nagler

Economics Working Papers

I present a spatial model of differentiated product markets in which consumers with heterogeneous tastes rationally improve their attitude towards the product they choose. Adjustment raises prices if adjustment facility is greater for consumers who initially prefer a product more (e.g., preferences and corresponding adjustments exhibit the halo effect). It lowers prices if instead easier adjustment for consumers with weaker initial preferences causes attitudinal regression to the mean. The theory explains higher prices in markets to the poor and less educated and so motivates re-examination of previously proposed solutions to the poor performance of those markets.

How Much Should You Pay For A Financial Derivative?, Boyan Kostadinov

Publications and Research

We explain some key mathematical ideas behind the no-arbitrage pricing of financial derivatives by replication, starting from a simple coin toss model and ending with the continuous-time limit of a multi-step coin-toss model using a geometric random walk model. In the limit, we obtain the classical Black-Scholes-Merton formula for pricing European call and put options.

Predictability Of Bond Risk Premia With An Affine Term Structure Model, Sibel Korkmaz

Dissertations, Theses, and Capstone Projects

This thesis focuses on zero-coupon bond risk premia. In chapter 1 first I summarize the literature that defines expectation hypothesis, time variation in bond risk premia, well known macroeconomic and variety of technical indicators which predict bond return forecasts. Then, I continue with introducing a high dimensional affine dynamic term structure model and unscented Kalman filtering as its estimation technique.In chapter 2, I explore predictive capacity of the estimated latent states of this term structure model. I constructed a single return forecasting factor by using these states. I report comparison of well known excess bond return forecasting factors' predictive performance …

Through The Gateway: Marijuana Production, Governance, And The Drug War Détente, Michael Polson

Dissertations, Theses, and Capstone Projects

Since the 1996 voter approval of medical marijuana laws in California, marijuana policy has become increasingly liberalized. Producers, however, have remained in the greyest of grey market zones. Federal anti-drug laws and supply-side tactics have intensively targeted them even as marijuana has become more licit. In this legally unstable environment, marijuana patient-cultivators and underground producers have articulated and asserted themselves politically and economically, particularly as the likelihood of full legalization has increased. This dissertation explores how producers navigated the nebulous zone between underground and medical markets. I argue that even as producers supplied marijuana to a formalizing, regulated medical industry …

Essays In Chinese Financial Markets, Chang Xia

Dissertations, Theses, and Capstone Projects

Chapter 1 adopted the constraint dummy variables regression model in Cao, Harris and Wang (2007) to examine seasonality in the returns, volatility, and turnover of Shanghai ‘A’, Shanghai ‘B’, Shenzhen ‘A’, and Shenzhen ‘B’ composite indexes in the Chinese Stock Market. Daily data of four composite indexes (Shanghai ‘A’, Shanghai ‘B’, Shenzhen ‘A’, and Shenzhen ‘B’) was collected: the opening index value, the closing index value, the maximum index value, the minimum index value and the volume traded. Volatility (a realized volatility that is based on the daily trading range), trading volume, and three return series of the four indexes …

Firms' Decisions To Enter A Market Of Highly Differentiated Products: Apparel Industry And New York Fashion Week, Yoko Katagiri

Dissertations, Theses, and Capstone Projects

This dissertation deals with economic aspects of the fashion industry. It begins with a discussion of the complex industrial organization aspects of the industry. A wealth of information in this area has been assembled and is presented for the first time. The focus is on the high-end fashion market: how it started, how it works, New York Fashion Week, and its significance for the industry. Then a comprehensive review of the economics literature as it pertains to the industry is presented, also for the first time. The empirical sections of the dissertation contain estimates of demand functions for apparel and …

Madison Vanguard: A Novel, Berni Moestafa

Dissertations, Theses, and Capstone Projects

This capstone project takes the form of a popular fiction novel that introduces parts of the academic discussion on capitalism to a wider audience through storytelling. Using a fictional fiscal crisis in New York as its setting, the novel discusses the relationship between capitalism and democracy. It therefore aims to address the underrepresentation of the debate on capitalism in popular entertainment and raise awareness about some of the debate’s key issues.

Popular culture be that music, film, books, media, videogames or advertisement surround our lives and expose us to a plethora of messages that help shape our understanding of the …

Epistemic Considerations On Extensive-Form Games, Cagil Tasdemir

Dissertations, Theses, and Capstone Projects

In this thesis, we study several topics in extensive-form games. First, we consider perfect information games with belief revision with players who are tolerant of each other’s hypothetical errors. We bound the number of hypothetical non-rational moves of a player that will be tolerated by other players without revising the belief on that player’s rationality on future moves, and investigate which games yield the backward induction solution.

Second, we consider players who have no way of assigning probabilities to various possible outcomes, and define players as conservative, moderate and aggressive depending on the way they choose, and show that all …

Insatiability And Crisis: Using Interdisciplinarity To Understand (And Denaturalize) Contemporary Humans, Sean P. Macdonald, Costas Panayotakis

Publications and Research

This chapter illustrates how collaboration between different social sciences can encourage students to think critically about prevailing assumptions regarding human nature. Both the chapter and the pedagogical experience on which it is based investigate the distinctive type of human created by capitalist society. In so doing, it takes a heterodox approach to analyzing the concept of an insatiable human nature through a case study that invites students to critically assess this perspective. This discussion then leads to an investigation and critique of traditional neoclassical Economic assumptions about human behavior, which forms the basis for a case study on the causes …

Has Stagnant Real Income Growth Contributed To An Uneven U.S. Housing Market Recovery Following The Great Recession?, Sean P. Macdonald

Publications and Research

The U.S. housing market recovery following the Great Recession has in many ways been atypical of earlier housing market recoveries. There is evidence that the recovery from 2011 through 2016 has disproportionately occurred among higher income earners, while improvement in the middle and moderate income sectors appears to have occurred later and to have been comparatively less robust. Stagnant growth in real median household income among moderate and middle income households and a weaker rate of new household formation during and immediately following the recession are seen as key variables contributing to an uneven housing market recovery.

Performance Of American And Russian Joint Stock Companies On Financial Market. A Microstructure Perspective, Magdalena Osińska, Andrzej Dobrzyński, Yochanan Shachmurove

Publications and Research

This paper compares the periods before and after the Ukrainian crisis of 2014 from the perspective of market microstructure. The hypothesis is that the crisis influenced the fragile Russian financial market equilibrium. As financial markets adapt to the new equilibrium, the paper studies the effects of the crisis and the imposition of economic sanctions on Russia in terms of volatility, duration, prices and volume for selected joint stock companies listed on the U.S. and the Russian stock markets. Results reveal that the Moscow Stock exchange lacks an appropriate transmission mechanism from informed investors to the rest of the market.

What Is The Impact Of Interest Rate Levels On Banks’ Openness To Risk?, Nathalie Schmidt

Dissertations and Theses

This research paper deals with the impact of interest rate levels on banks’ openness to risk. There are several interest rates in the economy, which have different impacts of banks profit situations. This makes it necessary for banks to come up with the right strategy to ensure financial profitability. This research paper intends to find out the correlation between interest rate levels and risk behavior. An all-time low interest rate level characterizes the current situation in the economy. This situation deals as the focus of this research project. It makes business for financial institutions much harder compared to high interest …

Improving Medicare & Medicaid Reimbursement Framework For Molecular Diagnostics Tests Using Gene Sequencing: A Case Study In Health Economics, Advait Apte

Dissertations and Theses

Breast cancer is the second leading cause of deaths among women, as about one in eight women in the US will develop invasive breast cancer during their lifetime. After the diagnosis of breast cancer, chemotherapy is the commonly prescribed first line of treatment. In the recent past, research has shown that molecular diagnostic tests have revealed that about 20% of the tumors carry the HER-2 mutation on cell surface, which can be treated with the drug Herceptin, or trastuzumab, improving cancer free survival rates from 71.9% to 84.2% in five years. However, in spite of the observed increase in survival …

Determining The Predictive Ability Of Rural-Urban Migration For Health Indicators In China, Christopher Rick

Dissertations and Theses

Over one hundred million rural Chinese residents have migrated to urban areas within China for work. In cities, these workers often lack access to health insurance and licensed healthcare. Migrants are also more likely to work in dangerous jobs and to participate in high-risk behaviors. This paper analyzes two health indicators, blood pressure and grip strength, to determine if migrant status can predict health. This paper determines that migrant status is a significant predictor for blood pressure and grip strength, albeit in models with low predictive ability. However, the length of time since a person migrated is not a significant …

Heartbreak And Defiance: Stories Of Crisis In Puerto Rico, Andrea C. González-Ramírez

Capstones

No abstract provided.

In The Race To Reach New Wine Drinkers Old World Taste Is Losing Out, Lillian Knoepp

Capstones

But this old world is losing its grip on the wine industry. French wine production and consumption are falling while the New World of wine is gaining ground in both areas. Experts say that new wine making techniques and higher consumption in New World markets like the United States have changed the French wine industry.

For the French, more than just their wine industry is at stake. For many, the loss of French wine is a loss of French identity.

“They can't choose between the two. Because French people - we are wine and cheese - we are everything,” said …

Technical Analysis Under Knightian Uncertainty, Andre Mouton

Student Theses and Dissertations

Technical analysis, or the forecasting of asset price movements using past prices, is commonly practiced in financial markets but poorly explained by mainstream economic theory. I show that a technical rule can have predictive power when an asset’s payoffs are subject to Knightian uncertainty, defined as variation that cannot be described probabilistically (Knight, 1921). I present an asset-pricing model in which asset payoffs undergo periodic shifts in trend, and agents form expectations about these payoffs using a constant gain least squares (CGLS) rule. I investigate whether a second CGLS rule, operating on price, can provide a more accurate forecast of …

The Relationship Between Health And Schooling: What's New?, Michael Grossman

Economics Working Papers

Many studies suggest that years of formal schooling completed is the most important correlate of good health. There is much less consensus as to whether this correlation reflects causality from more schooling to better health. The relationship may be traced in part to reverse causality and may also reflect "omitted third variables" that cause health and schooling to vary in the same direction. The past five years (2010-2014) have witnessed the development of a large literature focusing on the issue just raised. I deal with that literature and what can be learned from it in this paper. I conclude that …

Joan Robinson And Mit, Harvey Gram, Geoffrey Harcourt

Economics Working Papers

The great question which has always haunted the type of analysis offered by the MIT economists in answer to Robinson's provocative critique (1953) has always been her own question: how to get into equilibrium? If the notion of "vision at a distance," inherent in dynamic equilibrium analysis (Dorfman, Samuelson, and Solow, 1958) means co-ordination of long-term expectations, recent work shows theory, that "getting into equilibrium" is an impossibility. This vindicates Robinson's position in the capital controversy, at least with respect to the MIT economists.

Macroeconomic Stabilization When The Natural Real Interest Rate Is Falling, Sebastien Buttet, Udayan Roy

Publications and Research

The authors modify the Dynamic Aggregate Demand–Dynamic Aggregate Supply model in Mankiw’s widely-used intermediate macroeconomics textbook to discuss monetary policy when the natural real interest rate is falling over time. Their results highlight a new role for the central bank’s inflation target as a tool of macroeconomic stabilization. They show that even when the zero lower bound is not binding, a prudent central bank will need to match every decrease in the natural real interest rate with an equal increase in the target rate of inflation in order to stabilize the risk of the economy falling into a deflationary spiral, …

Cuba's Agricultural Transformations, Armando Nova Gonzalez, Mario A. Gonzalez-Corzo

Publications and Research

The Cuban government has implemented a series of agricultural transformations since 2007 to increase the country’s agricultural self-sufficiency and reduce its dependency on food imports. These include the transfer (in usufruct) of State-owned land to non-State producers (e.g. cooperatives and private farmers), moderate price reforms, the decentralization of decision making, and the gradual relaxation of existing forms of agricultural commercialization. As a result of these measures, the area planted, as well as physical output and agricultural yields (in selected non-sugar crop categories) have shown mixed results, but still remain below desired levels. There are three (3) fundamental unresolved aspects that …

Labor Market Trajectories Of Black Women In The United States, 1980 To 2010, Danielle Jackson

Dissertations, Theses, and Capstone Projects

In light of several trends among Black women in the U.S., including rising levels of college degree attainment, immigration, and household headship, scholars have begun to more thoroughly explore the factors impacting Black women's labor market outcomes (e.g., employment status, earnings, and occupational prestige). Focusing on the 30-year period of 1980 to 2010, this dissertation applies theories of social and cultural capital, intersectionality, and social mobility to the examination of Black women's labor market trajectories according to their nativity (U.S.- vs. foreign-born status) and level of educational attainment (college-educated vs. non-college-educated). Additionally, this dissertation examines recent national data to determine …

Essays On Exchange Rate Pass-Through, Michael Malenbaum

Dissertations, Theses, and Capstone Projects

This dissertation examines the degree to which the prices of imports to the United States respond to changes in bilateral exchange rates. The first chapter provides a review of the literature on exchange rate pass-through and outlines how research on the topic has changed over the past forty years. The next two chapters focus individually on specific questions that are important to the pass-through literature. These topics include the impact of imperfect competition and varying market shares on pass-through rates, as well as the decline in pass-through to import prices and the possible effects of China's increased role in trade …

Revisting The Domestic Labor Debate: Toward A Critique Of Workerist Feminism, Alice Feng

Dissertations, Theses, and Capstone Projects

The extremely high presence of housewives in Italy during the 'miracle years,' of 1950-1963, seemingly suggested that an unprecedented number of women were unemployed after their expulsion from large-scale industry. This phenomenon inspired debate among feminists on questions such as the contribution of housewives to the reproduction of labor-power, the character of reproductive labor and the relation between the participation of women in waged labor and unwaged domestic labor. In revisiting this phenomenon, this thesis argues that, contrary to the appearance of women being unemployed, a significant number of women, along with children, were irregularly engaged in undeclared forms of …

Basic Cable: A Reluctant American Perspective On The Arab Spring Through Revolutionary Art, Philip Ayoub

Dissertations, Theses, and Capstone Projects

Supported by a critical component that traces back the Egyptian revolution of 2011 to its roots in the post-Nasser era when the Supreme Council of the Armed Forces assumed nearly complete political and economic control over the country, this novella, based in New York City, looks at the crisis through an American lens. As the story progresses the protagonist learns that the conditions which precipitated the events in Egypt can be viewed at once as both a product of American capitalism and Egyptian complicity, as well as act as a mirror, albeit on a magnified scale, of the changing socio-economic …