Department of Economics
University of Wisconsin-Madison
1180 Observatory Drive
Madison, WI 53706
NBER Program Affiliations:
NBER Affiliation: Faculty Research Fellow
Institutional Affiliation: University of Wisconsin-Madison
NBER Working Papers and Publications
|August 2020||What Can Economics Say About Alzheimer's Disease?|
with , : w27760
Alzheimer’s Disease (AD) affects one in ten people aged 65 or older and is the most expensive disease in the United States. We describe the central economic questions raised by AD. While there is overlap with the economics of aging, the defining features of the ‘economics of Alzheimer’s Disease’ is an emphasis on cognitive decline, choice by cognitively impaired patients, and a host of issues where dynamic contracts between patients and caregivers are hard to enforce. There is enormous scope for economists to contribute to our understanding of AD-related issues, including drug development, efficient care delivery, dynamic contracting within the family and with care providers, long-term care risk, financial decision-making, and public programs for AD. These topics overlap with many areas of...
|July 2019||Migration and Informal Insurance|
with , , : w26082
Do new migration opportunities for rural households change the nature and extent of informal risk sharing? We experimentally document that randomly offering poor rural households subsidies to migrate leads to a 40% improvement in risk sharing in their villages. Our model of endogenous migration and risk sharing shows that risky and temporary migration opportunities can induce an improvement in risk sharing enabling profitable migration. Accounting for improved risk sharing, the migration experiment increased welfare by 12.9%. However, permanent declines in migration costs improve outside options for households and can lead to reductions in risk shar-ing. The short-run experimental results for migration subsidies can differ from the longer-run impacts of a policy that permanently subsidizes...
|April 2015||Insurance in extended family networks|
with , : w21059
We investigate partial insurance and group risk sharing in extended family networks. Our approach is based on decomposing income shocks into group aggregate and idiosyncratic components, allowing us to measure the extent to which each component is insured. We apply our framework to extended family networks in the United States by exploiting the unique intergenerational structure of the Panel Study of Income Dynamics. We find that over 60% of shocks to household income are potentially insurable within extended family networks. However, we find little evidence that the extended family provides insurance for such idiosyncratic shocks.
|Decentralizing Education Resources: School Grants in Senegal|
with , , , : w21063
The impact of school resources on the quality of education in developing countries may depend crucially on whether resources are targeted efficiently. In this paper we use a randomized experiment to analyze the impact of a school grants program in Senegal, which decentralized a portion of the country’s education budget. We find large positive effects on test scores at younger grades that persist at least two years. We show that these effects are concentrated among schools that focused funds on human resources improvements rather than school materials, suggesting that teachers and principals may be a central determinant of school quality.
Published: Pedro Carneiro, Oswald Koussihouèdé, Nathalie Lahire, Costas Meghir, Corina Mommaerts “School Grants and Education Quality: Experimental Evidence from Senegal,” Economica Volume 87, Issue 345, January 2020, Pages 28-51