DOCSLIB.ORG

Lecture 7 - Static Labor Demand

Total Page：16

File Type：pdf, Size：1020Kb

Download full-text PDF Read full-text
Lecture 7 - Static Labor Demand Lecture 7 - Static Labor Demand References: Daniel McFadden "Duality of Production, Cost and Profit Functions" (avail- able on course web site). A very comprehensive presentation of the basic results of production theory. David Card and Thomas Lemieux. "Can Falling Supply Explain the Rising Returns to College for Young Men? A Cohort-Based Analysis." QJE 116 (2001): 705-746 Gianmarco Ottaviano and Giovanni Peri "Rethinking the Effects of Immigra- tion on Wages”. Journal of the European Economic Association, 2011. available at http://www.econ.ucdavis.edu/faculty/gperi/Publications.htm Peter Kuhn and Ian Wooten. "Immigration, International Trade, and the Wages of Native Workers. In John Abowd and Richard Freeman, editors. Im- migration Trade and Labor. University of Chicago Press for NBER, 1991. Some additional background reading: Lawrence Katz and Kevin Murphy. "Changes in Relative Wages, 1963-1987: Supply and Demand Factors," QJE 107 (1992): 35-78. Claudia Goldin and Lawrence Katz. The Race Between Education and Technology. Harvard University Press, 2008. Richard Anderson and John Moroney. "Substitution and Complementarity in CES Models". Southern Economic Journal 60 (April 1994): 886-895. David Card. "Is the New Immigration Really So Bad?" Economic Journal 115 (2005): F300-F323. David Card and Ethan Lewis. "The Diffusion of Mexican Immigrants During the 1990s: Explanations and Impacts." In G. Borjas (editor), Mexican Immi- gration to the United States, Univ. of Chicago Pressm 2007. George Johnson and Frank Stafford. "The Labor Market Implications of International Trade". In Ashenfelter and Card, Handbook of Labor Economics volume 3. (available online). The building block of labor demand is a production function f(x1, x2, ...xn) where xj is the input of "factor" j (say hours of work by some skill group). We usually assume that f has constant returns to scale (CRS). This means that in a competitive industry the scale of individual firms is undefined - firms per se are unimportant. What we can measure and analyze is industry-wide demand. As you may recall in the two-input case with CRS the shape of isoquants is summarized by the elasticity of substitution. Technically this is defined as d log( x1 ) = x2 d log( f1 ) f2 1 f1 where f(x1, x2) = y (i.e., the derivative is along an isoquant). Since is the f2 slope of the isoquant, this is the proportional change of the relative use of the two factors x1 and x2 per percent change in the slope of the isoquant (which, under cost-minimization, would be their relative factor prices). It can be shown that f f = 1 2 . f f12 A simple version of the proof follows. To begin note that with CRS, we have that f1 and f2 are both HD0. So x1f11 + x2f12 = 0 x1f21 + x2f22 = 0. Also, f = x1f1 + x2f2. Now define s as the slope of the isoquant at a point: f (x , x ) s = 1 1 2 f2(x1, x2) log s = log f1(x1, x2) log f2(x1, x2) f11 f21 f12 f22 d log s = [ ]dx1 + [ ]dx2 f1 f2 f1 f2 x2 f21 f21 f12 x1 f12 = [ ]dx1 + [ + ]dx2 x1 f1 f2 f1 x2 f2 f2f21x2 f21f1x1 f2f12x2 + f12f1x1 = [ ]dx1 + [ ]dx2 x1f1f2 x1f1f2 f12 dx1 f12 dx2 = [f1x1 + f2x2] + [f1x1 + f2x2] f1f2 x1 f1f2 x2 f12f dx1 dx2 f12f x1 1 x1 = [ ] = d log[ ] = d log[ ]. f1f2 x1 x2 f1f2 x2 x2 Thus d log[ x1 ] x2 = . d log s The classic examples are Cobb-Douglas ( = 1) and the "CES" 1/ρ f(x1, x2) = ( x + (1 )x ) 1 2 which has = 1/(1 + ). It is a lot easier in most cases to work with the cost function C(w1, w2, y). With CRS this has the form C(w1, w2, y) = (w1, w2)y 2 where () is the "unit cost" function. We will show that: C C = 1 2 . CC12 To do so, start with Sheppard’sLemma x1 = C1(w1, w2, y) x2 = C2(w1, w2, y) Now Cj is HD0 in input prices, so we can write: w1 w1 x1 = C1( , 1, y) = g( , y) w2 w2 w1 w1 x2 = C2( , 1, y) = h( , y) w2 w2 Also @x1 1 w1 @x2 1 w1 C11 = = g1( , y),C21 = = h1( , y). @w1 w2 w2 @w1 w2 w2 Now fixing y: x w w log 1 = log g( 1 , y) log h( 1 , y) x2 w2 w2 so w1 d log x1 w2 x2 w g h = = 1 1 1 d w1 w2 g h w2 w w C C w = 1 2 11 21 2 w g k 2 w C w C = 1 11 + 1 21 C1 C2 Now w1C11 + w2C12 = 0 since C1 is HD0. Substituting we get w C w C C (w C + w C ) C C = 1 21 + 2 12 = 12 1 1 2 2 = 12 C2 C1 C1C2 C1C2 using the fact that C is HD1 in input prices. Another useful fact: @x1 = C12 @w2 w @x w C C C w C C 2 1 = 2 12 = 12 2 2 1 ) x1 @w2 x1 C1C2 Cx1 w x = 2 2 = s (1) C 2 3 here s2 = input 20s cost share. Also @x1 @x1 w1 + w2 = 0 @w1 @w2 @x1 w1 = s2 = (1 s1) ) @w1 x1 This says that in the 2-input case the output-constant elasticity of demand for an input is the product of (1 s) and . Finally, with more than 2 inputs we define the partial elasticity of substitu- tion CijC ij = . CiCj Note that @xi wj wj CijC wjCiCj xi = Ci(w, y) ij = Cij = = ijsj ) @wj xi xi CiCj xiC which is a multi-factor generalization of (1). Marshall’sRules Let’sconsider a competitive industry with CRS and a cost function C(w, y) = (w)y. Industry output is priced at p = (w), and there is a downward slop- ing demand curve for the industry’s output y = D(p). We are going to show the "classic" connection between the elasticity of demand for an input by the industry and three key parameters: the elasticity of product demand, ij the partial elasticities of substitution, and sj the cost shares. We start with xi = yi(w) log xi = log y + log (w) ) i @ log x @ log y d log p (w) i = + ij ) @wj @ log p @wj i(w) d log (w) (w) = + ij @wj i(w) (w) yCjC = j + ij (w) iyCjC Therefore @ log xi wjj(w)y wjCijCjC wj = + @wj (w)y CiCjC wjCj wjCj = + ij C C = sj + ijsj = ij sj 4 Now let’sconsider the own-price effect: @ log xi = ii si. @ log wi Finally, consider the 2-input case, so ii = (1 si). Then @ log xi = (si + (1 si)) @ log wi which says that in the 2-input case the own-price demand elasticity is a combi- nation of the final product demand elasticity (a "scale" effect) and the elasticity of substitution (a "substitution" effect). To understand the scale effect, note that when p = MC = (w) @ log p (w) = j @wj (w) @ log p wjj(w)y wjxj wj = = = sj. @wj (w)y C Thus when wj rises by 1%, industry selling price rises by sj%, and this chokes off demand by sj%. The "standard model" of the demand side in labor economics is one in which all firms have CRS and pay the same prices for all factors. In this model firms per se do not matter: in fact the number and size of firms is indeterminant. In trade theory and IO there is considerable interest in models with a lot of heterogeneity across firms (e.g., Melitz, 2003). In these models different firms have different levels of productivity. Less productive firms survive because they produce differentiated products which consumers are willing to buy (though less productive firms are smaller). On the labor side, all firms pay the same wages, so the heterogeneity in firms does not matter directly. An important and growing area of work in labor economics focuses on the impact of firms. The starting point for this work is the recognition that "who you work for matters". See the presentation for the "Vancouver School of Economics" in Sept. 2013 (on the class web site) that tries to summarize some of the older ideas and new thrusts in this area. Some Functional Forms Cobb Douglas —often used for modeling labor and capital in contexts where the assumption that = KL = 1 is not too crazy: 1 y = f(K, L) = AL K Note that labor’sshare is which is constant. This used to be approximately correct. However, over the 2000’s, labor’s share has fallen from the "histori- cal" value of about 65% to about 58%. See Fleck, Glaser and Sprague, "The 5 Compensation-Productivity Gap": A Visual Essay" Monthly Labor Review Jan- uary 2011 (Figure 5 is attached). Note that in any CRS 2-input production function f(x1, x2) = x1f(1, x2/x1) = x1g(x2/x1) f(x1, x2)x1 = g(x2/x1). ) In the C-D case we get 1 y/L = A(K/L) which says that with fixed A "labor productivity" (y/L, the average product of labor) is a concave function of K/L. With C-D we get @y = A(K/L)1 @L so marginal product is just a constant times average product. These equations are widely used as a starting point for understanding productivity trends. CES - often used to study high/low skill labor: 1/ρ f(x1, x2) = ( x + (1 )x ) . 1 2 Many textbooks (e.g. Silberberg) have a section on the derivation of the CES from the differential equation d log( x1 ) x2 = , a constant d log( f1 ) f2 a problem that was solved by Arrow et al (Re Stat, 1961).
Load more

Recommended publications
  • Longitudinal Analysis of Strike Activity David Card Journal of Labor
    Longitudinal Analysis of Strike Activity David Card Journal of Labor Economics, Vol. 6, No. 2. (Apr., 1988), pp. 147-176. Stable URL: http://links.jstor.org/sici?sici=0734-306X%28198804%296%3A2%3C147%3ALAOSA%3E2.0.CO%3B2-7 Journal of Labor Economics is currently published by The University of Chicago Press. Your use of the JSTOR archive indicates your acceptance of JSTOR's Terms and Conditions of Use, available at http://www.jstor.org/about/terms.html. JSTOR's Terms and Conditions of Use provides, in part, that unless you have obtained prior permission, you may not download an entire issue of a journal or multiple copies of articles, and you may use content in the JSTOR archive only for your personal, non-commercial use. Please contact the publisher regarding any further use of this work. Publisher contact information may be obtained at http://www.jstor.org/journals/ucpress.html. Each copy of any part of a JSTOR transmission must contain the same copyright notice that appears on the screen or printed page of such transmission. The JSTOR Archive is a trusted digital repository providing for long-term preservation and access to leading academic journals and scholarly literature from around the world. The Archive is supported by libraries, scholarly societies, publishers, and foundations. It is an initiative of JSTOR, a not-for-profit organization with a mission to help the scholarly community take advantage of advances in technology. For more information regarding JSTOR, please contact [email protected]. http://www.jstor.org Tue Jul 3 19:08:14 2007 Longitudinal Analysis of Strike Activity David Card, Princeton Univevsity This article presents an empirical study of strike activity in a panel of contract negotiations for some 250 firm-and-union pairs.
    [Show full text]
  • Minutes of the Meeting of the Executive Committee Chicago, IL April 17, 2014
    American Economic Review: Papers & Proceedings 2015, 105(5): 683–688 http://dx.doi.org/10.1257/aer.15000009 Minutes of the Meeting of the Executive Committee Chicago, IL April 17, 2014 The first meeting of the 2014 Executive Charles I. Jones, Rachel Kranton, and Fiona Committee was called to order at 10:00 am on Scott Morton. The Nominating Committee and April 17, 2014 in the Heathrow A-B Room of the Executive Committee, acting together as the Hyatt Regency O’Hare Hotel, Chicago, IL. an electoral college, then VOTED to nominate Members present were: David Card, Dora Costa, Robert Shiller as President-elect, and VOTED Esther Duflo by phone , Steven Durlauf, Amy to recognize Robert Barro, Gregory Chow, Finkelstein, Pinelopi( Goldberg,) Claudia Goldin, Robert J. Gordon, and Richard Zeckhauser as Guido Imbens, Anil Kashyap, Jonathan Levin, Distinguished Fellows of the Association. The N. Gregory Mankiw, Rosa Matzkin, William President requested that the Secretary-Treasurer Nordhaus, Andrew Postlewaite, Peter Rousseau, revise the guidelines provided to the committee Matthew Shapiro, Christopher Sims, and Richard to reflect current practices more closely. Thaler. Alan Auerbach, Judith Chevalier, Henry Report of the Committee on Honors and Farber, and Jonathan Skinner participated in part Awards Auerbach . Auerbach explained that of the meeting and Andrew Abel, Susan Athey, nominations( for the) — Clark Medal were solic- and David Laibson participated by phone as ited from economics department heads of major members of the Honors and Awards Committee. research universities. The Honors and Awards Orley Ashenfelter participated in part of the Committee Auerbach chair , Abel, Athey, meeting as chair of the Nominating Committee.
    [Show full text]
  • Learning, Career Paths, and the Distribution of Wages†
    American Economic Journal: Macroeconomics 2019, 11(1): 49–88 https://doi.org/10.1257/mac.20170390 Learning, Career Paths, and the Distribution of Wages† By Santiago Caicedo, Robert E. Lucas Jr., and Esteban Rossi-Hansberg* We develop a theory of career paths and earnings where agents organize in production hierarchies. Agents climb these hierarchies as they learn stochastically from others. Earnings grow as agents acquire knowledge and occupy positions with more subordinates. We contrast these and other implications with US census data for the period 1990 to 2010, matching the Lorenz curve of earnings and the observed mean experience-earnings profiles. We show the increase in wage inequality over this period can be rationalized with a shift in the level of the complexity and profitability of technologies relative to the distribution of knowledge in the population. JEL D83, E24, J24, J31 ( ) his paper develops a new model of an economy that generates sustained pro- Tductivity growth. One distinctive feature of the model is that all knowledge in the economy is held by the individual people who comprise it: there is no abstract technology hovering above them in the ether. A second feature, necessarily involv- ing heterogeneous labor, is a kind of complementarity in production involving peo- ple with different skill levels: the marginal product of any one person is contingent on the people he works with. A third feature, closely related to the second, is that improvements over time in individual skill levels depend on imitation or stimulation or inspiration from other people in the economy. All growth is taken to arise from this force.
    [Show full text]
  • Technical Paper Series Congressional Budget Office Washington, DC
    Technical Paper Series Congressional Budget Office Washington, DC MODELING LONG-RUN ECONOMIC GROWTH Robert W. Arnold Congressional Budget Office Washington, D.C. 20515 [email protected] June 2003 2003-4 Technical papers in this series are preliminary and are circulated to stimulate discussion and critical comment. These papers are not subject to CBO’s formal review and editing processes. The analysis and conclusions expressed in them are those of the author and should not be interpreted as those of the Congressional Budget Office. References in publications should be cleared with the author. Papers in this series can be obtained from www.cbo.gov. Abstract This paper reviews the recent empirical literature on long-run growth to determine what factors influence growth in total factor productivity (TFP) and whether there are any channels of influence that should be added to standard models of long-run growth. Factors affecting productivity fall into three general categories: physical capital, human capital, and innovation (including other factors that might influence TFP growth). Recent empirical evidence provides little support for the idea that there are extra-normal returns to physical capital accumulation, nor is there solid justification for adding a separate channel of influence from capital to TFP growth. The paper finds evidence that human capital—as distinct from labor hours worked—is an important factor for growth but also that there is not yet a consensus about exactly how it should enter the model. Some argue that human capital should enter as a factor of production, while others argue that it merely spurs innovation. The forces governing TFP growth are not well understood, but there is evidence that R&D spending is a significant contributor and that its benefit to society may exceed its benefit to the company doing the spending—that is, it is a source of spillovers.
    [Show full text]
  • 1 What's Wrong with Contemporary Economics? Paul Streeten
    1 What's Wrong With Contemporary Economics? Paul Streeten "Economics used to be written in English by Scotsmen; today it is written in mathematics by Hungarians." Overheard in the Common Room. If you can analyse -- and not make models your master; If you can think -- and not make algebra your aim; If you do not consider plain words a disaster And treat words, figures, symbols all the same; If you can talk to crowds and keep your virtue Or walk with econometricians -- nor lose the common touch; If neither facts nor theories can hurt you If all costs count with you, but none too much If you can fill the unforgiving minute With sixty seconds' worth of distance run Yours is the Earth and everything that's in it, And -- what is more -- you'll have a lot of fun! (With apologies to Rudyard Kipling.) Educating economists The question in the title of this essay is open to two opposite interpretations, one implying approval, the other criticism. It can be interpreted either in an aggressively defiant, pugnacious mode: what's wrong with contemporary economics? The implication would be that everything is for the best in this best of all possible worlds, or at least for the second best in this best of all feasible worlds. Or it can be interpreted in a matter-of-fact, quietly inquisitive mode: what is wrong with contemporary economics? I shall opt for the second interpretation. Most of us would agree that he is a poor economist who is only an economist. Yet, the pressures for appointments, promotion, tenure, and publication have become such that economists have to cultivate ever narrower fields, if not little patches.
    [Show full text]
  • Do Minimum Wages Raise the NAIRU?
    Topics in Macroeconomics Volume 4, Issue 1 2004 Article 7 Do Minimum Wages Raise the NAIRU? Peter Tulip∗ ∗Federal Reserve Board, [email protected] Copyright c 2004 by the authors. All rights reserved. No part of this publication may be reproduced, stored in a retrieval system, or transmitted, in any form or by any means, electronic, mechanical, photocopying, recording, or otherwise, without the prior written permission of the publisher, bepress. Topics in Macroeconomics is one of The B.E. Journals in Macroeconomics, produced by The Berkeley Electronic Press (bepress). http://www.bepress.com/bejm. Do Minimum Wages Raise the NAIRU?∗ Peter Tulip Abstract Maybe a lot. The ratio of the minimum wage to the average wage enters a Phillips- curve equation with a coefficient that is highly significant, stable, and robust. One in- terpretation of these results is that the relative level of the minimum wage affects the Non-Accelerating Inflation Rate of Unemployment or NAIRU. My estimates are consis- tent with the reduction in the relative level of the minimum wage since 1980 lowering the 1 U.S. NAIRU about 1 2 percentage points, while raising the NAIRU in continental Europe. However, other interpretations are also possible. KEYWORDS: NAIRU, minimum wage ∗Federal Reserve Board, Washington D.C. 20551. Email: [email protected]. This paper is a substantially revised version of Tulip (2000b). I am grateful to Charles Fleischman, Flint Brayton, Dave Reifschneider, Albert Ando, Lawrence Klein, Dan Polsky, Frank Schorfheide, Clive Crook, David Romer and an anonymous referee for helpful comments and assistance. The data and programs used in this paper are available from the author on request and at http://www.petertulip.com.
    [Show full text]
  • Immigration Economics: a Review David Card Giovanni Peri UC
    Immigration Economics: A Review David Card Giovanni Peri UC Berkeley UC Davis and NBER and NBER April, 2016 Abstract We review Immigration Economics (IE) by George J. Borjas, published in 2014 by Harvard University Press. The book is written as a graduate level textbook, and summarizes and updates many of Borjas' important contributions to the field over the past 30 years. A key message of the book is that immigration poses significant costs to many members of the host‐country labor market. Though the theoretical and econometric approaches presented in the book will be very useful for students and specialists in the field, we argue that book presents a one‐sided view of immigration, with little or no attention to the growing body of work that offers a more nuanced picture of how immigrants fit into the host country market and affect native workers. *We are extremely grateful to Gaetano Basso and Ingrid Hägele for their assistance. Immigration Economics: A Review George Borjas is the leading economic scholar of immigration. Over the past three decades he has authored or co‐authored dozens of papers that have opened up new lines of investigation and help frame the way that economists think about immigration. He has also written two previous books on the topic – Friends or Strangers? The Impact of Immigrants on the U.S. Economy in 1990, and Heaven’s Door: Immigration Policy and the American Economy in 1999 – and contributed important reviews to the Journal of Economic Literature and the Handbook of Labor Economics. Borjas’ new book, Immigration Economics (IE), summarizes much of his past work, updating the empirical work in some of his seminal papers and addressing concerns that have been raised by other researchers (including us).
    [Show full text]
  • Unexpected Inflation, Real Wages, and Employment Determination in Union Contracts
    Unexpected Inflation, Real Wages, and Employment Determination in Union Contracts David Card The American Economic Review, Vol. 80, No. 4. (Sep., 1990), pp. 669-688. Stable URL: http://links.jstor.org/sici?sici=0002-8282%28199009%2980%3A4%3C669%3AUIRWAE%3E2.0.CO%3B2-V The American Economic Review is currently published by American Economic Association. Your use of the JSTOR archive indicates your acceptance of JSTOR's Terms and Conditions of Use, available at http://www.jstor.org/about/terms.html. JSTOR's Terms and Conditions of Use provides, in part, that unless you have obtained prior permission, you may not download an entire issue of a journal or multiple copies of articles, and you may use content in the JSTOR archive only for your personal, non-commercial use. Please contact the publisher regarding any further use of this work. Publisher contact information may be obtained at http://www.jstor.org/journals/aea.html. Each copy of any part of a JSTOR transmission must contain the same copyright notice that appears on the screen or printed page of such transmission. The JSTOR Archive is a trusted digital repository providing for long-term preservation and access to leading academic journals and scholarly literature from around the world. The Archive is supported by libraries, scholarly societies, publishers, and foundations. It is an initiative of JSTOR, a not-for-profit organization with a mission to help the scholarly community take advantage of advances in technology. For more information regarding JSTOR, please contact [email protected]. http://www.jstor.org Mon Jul 2 13:58:03 2007 Unexpected Inflation, Real Wages, and Employment Determination in Union Contracts This paper examines the effect of nominal contracting provisions on employment determination in union contracts.
    [Show full text]
  • New Perspectives on Regulation Edited by David Moss & John Cisternino New Perspectives on Regulation
    NEW PERSPECTIVES ON REGULATION edited by David Moss & John Cisternino NEW PERSPECTIVES ON REGULATION NEW PERSPECTIVES ON REGULATION This work is distributed under a Creative Commons Attribution–Noncommercial– No Derivative Works 3.0 license. Readers are free to share, copy, distribute, and transmit the work under the following conditions: All excerpts must be attributed to: Moss, David, and John Cisternino, eds. New Perspectives on Regulation. Cambridge, MA; The Tobin Project, 2009. The authors and individual chapter titles for all excerpts must also be credited. This work may not be used for commercial purposes, nor may it be altered, transformed, or built upon without the express written consent of the Tobin Project, Inc. For any reuse or distribution, the license terms of this work must always be made clear to others: the license terms are available at http://creativecommons.org/licenses/by-nc-nd/3.0/us/. Copyright © 2009 The Tobin Project, Inc. All rights reserved. For information address The Tobin Project, One Mifflin Place, Cambridge, MA 02138. First Edition 10 9 8 7 6 5 4 3 2 1 Printed in the United States of America This book is set in Adobe Caslon Pro. Text design by Kristen Argenio/Ideal Design Co. ISBN 978-0-9824788-0-6 (paperback) Library of Congress Cataloging-in-Publication Data on file. Visit www.tobinproject.org Contents 5 preface Mitchell Weiss 7 introduction David Moss and John Cisternino 11 chapter 1 Regulation and Failure Joseph Stiglitz 25 chapter 2 The Case for Behaviorally Informed Regulation Michael S. Barr, Sendhil Mullainathan, Eldar Shafir 63 chapter 3 From Greenspan’s Despair to Obama’s Hope: The Scientific Basis of Cooperation as Principles of Regulation Yochai Benkler 87 chapter 4 Government as Risk Manager Tom Baker and David Moss 111 chapter 5 Toward a Culture of Persistent Regulatory Experimentation and Evaluation Michael Greenstone 127 chapter 6 The Promise and Pitfalls of Co-Regulation: How Governments Can Draw on Private Governance for Public Purpose Edward J.
    [Show full text]
  • Prize in Economics
    The Nobel Memorial Prize in Economic Science is set to be announced on PRIZE IN Monday. The contenders include Jean Tirole, Bengt Holmstrom, Oliver Hart, Robert Barro, Paul Romer, Avinash Dixit, Angus Deaton, Lars Peter Hansen, NOBELECONOMICS William Baumol, Robert Shiller, Richard Thaler, Andrei Shleifer, William Nordhaus, Douglas Diamond, Alan Krueger, David Card, Joshua Angrist, Jerry THE LAUREATES Hausman and Eugene Fama. A look at the winners through the last 10 years 2012 2011 Alvin E Roth LLOYD S SHAPLEY Born: 18 December, 1951, US Born: 2 June, 1923, US Affiliation at the time of Affiliation at the time the award: Harvard of the award: University, Cambridge, MA, University of USA, Harvard Business California, Los School, Boston, MA, USA Angeles, CA, US For the theory of stable allocations and the practice of market design Thomas J Sargent 2010 2009 Born: 1943, US Affiliation at the time of the Elinor Ostrom Peter A Diamond award: New York University, Born: 29 April, 1940, US Born: 7 August, 1933, US New York, NY, US Affiliation at the Affiliation at the time of the award: Christopher A Sims time of the Indiana University, Bloomington, IN, award: US, Arizona State University, Tempe, Born: 1942, US Massachusetts AZ, US Affiliation at the Institute of For her analysis of economic governance, especially the commons time of the Technology award: (MIT), Cambridge, Oliver E Williamson Princeton MA, US Born: 27 September, 1932, US University, Affiliation at the time of the award: Princeton, NJ, Dale T Mortensen University of California,
    [Show full text]
  • PPPA 8105 Phd Seminar: Economic Models and Public Policy Analysis Fall 2014 Professor Burt Barnow/Professor Joseph Cordes
    School of Public Policy and Public Administration PPPA 8105 PhD Seminar: Economic Models and Public Policy Analysis Fall 2014 Professor Burt Barnow/Professor Joseph Cordes Class Meeting: Media and Public Affairs Building, Room 601Z. Tuesday: 6:10 to 8:00 P.M. Office: 6th Floor, Media and Public Affairs Building Phone: (Barnow) 202-994-6379; (Cordes) (202) 994-5826 Email: [email protected]; [email protected] Office Hours: By appointment Learning Objectives: This is a PhD-level course that focuses on topics in public economics and human capital theory and labor economics. At the conclusion of the course, students will have an understanding of various models for analyzing public sector institutions, expenditures and revenues; and of labor economic/human capital models and how these relate to public policy research. The course has the following specific objectives: • To familiarize students with some of the theoretical foundations of public expenditure and revenue analysis, human capital theory and labor economics. • To introduce students to the various approaches to research in these areas field, which (consistent with the interdisciplinary nature of public policy and administration) rely on tools from many fields, such as economics, and political science. • To provide students with an opportunity to do independent research that furthers some larger career objective, such as making progress toward a dissertation topic or producing a publishable paper. Required Readings There is no required textbook for the course. Instead, it will rely on a substantial number of readings, mainly from academic journals and handbooks, posted on Blackboard. In most weeks, 100-150 pages of reading will be required.
    [Show full text]
  • 14.661 Labor Economics I Staff: Instructors: Parag Pathak, E17-240
    14.661 Labor Economics I Staff: Instructors: Parag Pathak, E17-240, [email protected]; Daron Acemoglu, E18-269D, [email protected] Teaching fellow: Yusuke Narita, [email protected] Logistics: Two lectures per week on Tuesday and Thursday from 10:30-12pm in E51-385 Pathak begins on 9/4/2014 and ends 10/16/2014 Acemoglu begins on 10/21/2014 and ends 12/9/2014 Description: This is a graduate course in labor economics, appropriate for PhD students in the Department of Economics and other students with permission of the instructor. Pathak and Acemoglu split the fall semester. In the spring, Professors David Autor and Heidi Williams teach Labor Economics II. The aim is to acquaint students with traditional topics and to encourage the development of inde- pendent research interests. The syllabus contains readings of two sorts. The first will be emphasized in lectures. Other readings may be discussed briefly, but are also listed as a guide to the literature. Students who are interested in pursuing research in labor economics are strongly encouraged to the attend the weekly Labor Economics student workshop, which meets on Tuesdays from 12:00- 1:00pm, the joint MIT Labor/Public Finance seminar in the Fall on Mondays from 4-5:30pm, and the Econ-Sloan Applied Microeconomics seminar which meets in the Spring. A Stellar website has readings, assignments, and recitation material. Course Materials: Working labor economists should have easy access to the following resources: • Ashenfelter, Orley and David Card (2010): Handbook of Labor Economics, Volumes 4A and 4B. • Angrist, Joshua and Jorn-Steffen Pischke (2009): Mostly Harmless Econometrics: An Empiri- cist's Companion, Princeton University Press.
    [Show full text]