We quantify reference dependence and loss aversion in the housing market using rich Danish administrative data. Our structural model includes aversion, dependence, financial constraints, a sale decision, matches key nonparametric moments, including “hockey stick” listing prices with nominal gains, bunching at zero realized gains. Households derive substantial utility from gains over original ho...

A central question in the analysis of fuel economy policy is whether consumers are myopic with regards to future costs. We provide first evidence on consumer valuation from a natural experiment that provides exogenous variation ratings. examine short-run equilibrium effects restatement ratings affected 1.6 million vehicles. Using implied changes willingness pay, we find act myopically: indiffer...

in order to select the suitable lines of red bean for chahharmahal & bakhtiari province, this experiment was conducted in lordegan & boldaji regions at 2001-2005. at the first year, single plants of local red bean (from lordegan, ardal, boldaji, dastgerd emamzadeh and gandoman regions) were selected at research farm for phenotypic characters, yield and yield components. at the second year, sele...

The share of household resources devoted to children is hard to identify, because consumption is measured at the household level, and goods can be shared. Using semiparametric restrictions on individual preferences within a collective model, we identify how total household resources are divided up among household members, by observing how each family member's expenditures on a single private go...

In this paper I exploit the removal of Warner Music content from YouTube in January 2009, and its restoration in October 2009, as a plausible natural experiment to investigate the impact of online content availability on album sales. I find that the blackout on YouTube had both statistically and economically significant positive effects on Warner albums, which are quickly moderated as top-selli...

Anthropologists have documented substantial and persistent differences in food preferences across social groups. My paper asks whether such food cultures can constrain caloric intake? I first document that inter-state migrants within India consume fewer calories per Rupee of food expenditure compared to their neighbors. Second, I show that migrants bring their origin-state food preferences with...

The Australian CPI is a Laspeyres price index which is subject to a number of wellknown biases. This paper evaluates the performance of the Australian CPI as a true cost of living index by comparing CPI-deflated food Engel curves estimated with the Australian Bureau of Statistics Household Expenditure Surveys. Our findings indicate the Australia CPI overstated changes in the general cost of liv...

This paper provides evidence that a firm’s stock price movements affect its customer demand. I develop a model in which customers learn about a firm’s product quality partially from its stock price. This learning induces feedback from the price to customer demand. Furthermore, the firm manager adjusts product launch decisions in anticipation of these demand shifts. Consistent with the model’s i...

African-American consumers differ markedly from their Caucasian counterparts in terms of financial product preferences, product research, and investment asset portfolio composition. This study examines some of the principal differences between African-American and Caucasian households in evaluating and purchasing investment assets and explores differences in asset holdings between the two racia...

We elicit traders' predictions of future price trajectories in repeated experimental markets for a 15-period-lived asset. We find that individuals' beliefs aboutprices are adaptive, and primarily based on past trends in the current and previous markets in which they have participated. Most traders do not anticipate market downturns the first time they participate in a market, and, when experien...