Economic Inquiry

Articles from Vol. 40, No. 2, April

A Model of Growth and Convergence in the Presence of Input-Enhancing Factors: An Empirical Study
Farhad Rassekh (*) I. INTRODUCTION The theoretical and empirical study of economic growth rests in part on the assumption of neutral technical change. This assumption maintains that the technical rate of substitution between inputs (say, capital...
A Reexamination of Resource Allocation Responses to the 65-MPH Speed Limit
Michael Greenstone (*) I. INTRODUCTION In 1987 the federal government allowed states to raise speed limits from 55 mph to 65 mph on a single category of roads, rural interstates. Of the 47 states with rural interstate roads, 40 adopted the higher...
Asymmetry in the Effects of Monetary and Government Spending Shocks: Contrasting Evidence and Implications
Magda Kandil (*) 1. INTRODUCTION Recent research on business cycles has produced evidence that demonstrates the asymmetric effects of monetary shocks on economic variables. (1) Specifically, the effect of expansionary monetary shocks on economic...
Collusion in Procurement Auctions: An Experimental Examination
Bart J. Wilson (*) I. INTRODUCTION Questioning the value of efforts to enforce federal anticonspiracy laws raises spirited debate among antitrust economists. Although everyone recognizes the welfare costs of successful conspiracies, commentators...
Examining the Wage Differential for Married and Cohabiting Men
Leslie S. Stratton (*) I. INTRODUCTION Wage analyses almost universally indicate that married men earn more than do single men, even after controlling for observable human capital characteristics. The same appears to be true for cohabiting men....
Fiat Exchange in Finite Economies
Casper G. De Vries (*) I. MODELING FIAT MONEY A model of the transactions role of money stemming from the absence of a double coincidence of wants requires a dynamic economy with separated markets and no possibility to coordinate transactions...
Offsetting Behavior Effects of the Corporate Average Fuel Economy Standards
John M. Yun (*) 1. INTRODUCTION Consumers value many attributes of an automobile. The problem for regulators is that many features are highly interrelated, such as safety and fuel economy improvements. Both features are highly correlated with...
Production, Appropriation, and Income Transfer
Suk Jae Noh (*) 1. INTRODUCTION The idea is not new that redistribution of resources purchases social stability because inequality in income or resource distribution fosters antisocial behaviors, such as crime and revolt. The time and effort...
Reputation in Bargaining: National Football League Contract Negotiations
Michael Conlin (*) I. INTRODUCTION The notion of reputation has been used to explain everything from limit pricing to the chain store paradox to cooperation in the finitely repeated prisoners' dilemma game. Robert Wilson (1985) states that "reputation...
School Quality and Returns to Education of U.S. Immigrants
Dek Terrell (*) I. INTRODUCTION Economists agree that human capital is an important factor of production, but considerable controversy exists over how public investments create human capital (Heckman, 2000). In particular, the relation between...
The Distribution Sector and the Development Process: Are There Patterns? Yes
Roger R. Betancourt (*) I. INTRODUCTION In this article we bring together three separate strands of literature that have a bearing on the issue of whether or not there are patterns in the role of the distribution sector during the course of economic...
The East End, the West End, and King's Cross: On Clustering in the Four-Player Hotelling Game
Nicolaas J. Vriend (*) I. INTRODUCTION Despite the popularity of simple location models in industrial economics and voting theory, in the tradition following Hotelling (1929), and despite the recent rise of the experimental method in economics,...