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Immigration, Innovation, and Growth

By Stephen J. Terry Thomas Chaney Konrad B. Burchardi Lisa Tarquinio Tarek A. Hassan

òòò½Íø Review, March 2026

We propose a novel identification strategy to isolate exogenous immigration shocks across US counties, by interacting quasi-random variations in the composition of ancestry across counties with the contemporaneous inflow of migrants from different countri...

Sequential Cursed Equilibrium

By Shani Cohen and Shengwu Li

òòò½Íø Review, March 2026

We propose an extensive-form solution concept, with players who neglect information from hypothetical events but make inferences from observed events. Our concept modifies cursed equilibrium (Eyster and Rabin 2005) and allows that players can be cursed ab...

Equal Pay for Similar Work

By Diego Gentile Passaro, Fuhito Kojima, and Bobak Pakzad-Hurson

òòò½Íø Review, March 2026

Equal pay laws increasingly require that workers with different group identities doing "similar" work are paid equal wages within firm. We study such "equal pay for similar work" (EPSW) policies theoretically and test our models' predictions empirically u...

Dynamics of the Long-Term Housing Yield: Evidence from Natural Experiments

By ³Õ±ð°ùó²Ô¾±³¦²¹ µþ䳦°ì±ð°ù-±Ê±ð°ù²¹±ô, Jonathon Hazell, and Atif Mian

òòò½Íø Review, March 2026

Each month, a fraction of UK property leases are extended by 90 years or more. We construct a new dataset using thousands of these natural experiments since 2000 and estimate the expected long-term housing yield, y*. After remaining steady at around 5 per...

The Price of War

By Jonathan Federle, ´¡²Ô»å°ùé Meier, Gernot J. ²Ñ³Ü̈±ô±ô±ð°ù, Willi Mutschler, and Moritz Schularick

òòò½Íø Review, March 2026

We assemble a new dataset spanning 150 years and 60 countries to study the economic toll of war. A war of average intensity is associated with an output drop of close to 10 percent in the war-site economy, while consumer prices rise by approximately 20 pe...

What You Don't Know May Be Good for You

By Johannes ±áö°ù²Ô±ð°ù and Larry Samuelson

òòò½Íø Review, March 2026

We consider an economy in which long-lived experts are matched with short-lived clients. Experts choose the type of client with whom they match, unobserved by the market. The interaction outcome depends on both the expert's and the client's type. We study...

Globalization, Capital Taxation, and Development: Evidence from a Macro-Historical Database

By Pierre Bachas, Matthew Fisher-Post, Anders Jensen, and Gabriel Zucman

òòò½Íø Journal: Applied Economics

This paper builds and analyzes a new global macro-historical database of effective tax rates on capital and labor in 154 countries. We establish a new stylized fact: while effective capital tax rates fell in developed countries between 1965 and 2018, th...

Fiscal Transfers to Local Governments and the Distribution of Economic Activity

By Teemu ³¢²â²â³Ù¾±°ìä¾±²Ô±ð²Ô, Sander Ramboer, and Max Toikka

òòò½Íø Journal: Economic Policy

We study the economic effects of transfers to local governments using a reform of the Finnish municipal grant system as a source of exogenous variation. We find that higher grants lead to lower municipal taxes and fees, higher public spending and impro...

The Economics of Age at School Entry: Insights from Evidence and Methods

By Mariagrazia Cavallo, Elizabeth Dhuey, Luca Fumarco, Levi Halewyck, and Simon ter Meulen

Journal of Economic Literature

This article reviews the growing literature on age at school entry and its effects over the life course. Age at school entry affects a broad range of outcomes, including education, labor-market performance, health, social relationships, and family formati...