We model the introduction of a new payment method that competes with an existing payment method. Due to network adoption effects, there are two symmetric pure strategy equilibria in which only one of the two payment methods is used. The equilibrium where only the new payment method is used is socially optimal. In an experiment, we find that, depending on the fixed fee for acceptance of the new ...

While interest in social determinants of individual behavior has led to a rich theoretical literature and many efforts to measure these influences, a mature “social econometrics” has yet to emerge. This chapter provides a critical overview of the identification of social interactions. We consider linear and discrete choice models as well as social networks structures. We also consider experimen...

We estimate the effect of motherhood on wages using matching. We distinguish between net and direct effects. The net effect includes the total wage costs, whereas the direct represents the causal effect. Since covariates are likely affected by motherhood, the latter effect is not immediately uncovered. We therefore implement two strategies: First, we confine the analysis to consider sector-spec...

Lewbel (2012) provides an estimator for linear regression models containing an endogenous regressor, when no outside instruments or other such information is available. The method works by exploiting model heteroscedasticity to construct instruments using the available regressors. Some authors have considered the method in empirical applications where an endogenous regressor is binary (e.g., en...

The aim of this paper is to study the probability to find an opportunity of collaboration among small and medium sized firms by participating in the Europartenariat meeting created to encourage co-operation links. Contacts among firms are relatively few in number and are assumed to be generated by a Poisson process. Empirical results of different Poisson regression models with reference to para...

Using empirical methods, this paper examines household schooling and child labor decisions in rural Bangladesh. The results suggest the following: poverty and low parental education are associated with lower schooling and greater child labor; asset-owning households are more likely to have children combine child labor with schooling; households choose the same activity for all children within t...

This paper studies three inter-related healthcare decisions: insurance, utilization, and expenditures. The model treats insurance as an endogenous variable with respect to both utilization and expenditures, addresses potential selection issues, and takes into account that the decisions to utilize healthcare and the level of treatment are determined by different decision makers. We employ semipa...

Nowadays, it is easy to find radio transceivers having small size, low cost and still offering numerous functionalities. High-integration of radio-frequency (RF) circuits is still the main trend in the development of wireless devices. A down-converter is an essential part of any RF receiver. It basically performs the frequency translation between an incoming RF signal into a lower frequency to ...

We propose a general framework for analyzing structural limited dependent variable models where an endogenous regressor is also limited in range. A copula-based modeling of structural joint distributions permits us to implement a full information maximum likelihood estimation of parameters. We apply this modeling strategy to the March 1992 and 2002 CPS data for estimating the average partial ef...