The chronometer, one of the greatest inventions of the modern era, allowed for the first time for the precise measurement of longitude at sea. We examine the impact of this innovation on navigation and urbanization. Our identification strategy leverages the fact that the navigational benefits provided by the chronometer varied across different sea regions depending […]
The importance of the chronometer
The importance of the chronometer
24 Mar 2025 1 Comment
in applied price theory, econometerics, economic history, industrial organisation, transport economics, urban economics Tags: Age of Discovery
Beware: Flawed Energy Assumptions Incite Delusional Scenarios
23 Mar 2025 1 Comment
in econometerics, economic history, economics of climate change, energy economics, environmental economics, environmentalism, global warming
Mark P. Mills and Neil Atkinson blow the whistle on projections written in International Energy Agency’s (IEA) latest report, the World Energy Outlook. Below is the announcement of the report findings, key exhibits and Executive summary, excerpts in italics with my bolds and added images. Link to full study at the end. Overview Industry players […]
Beware: Flawed Energy Assumptions Incite Delusional Scenarios
Beating the market
23 Mar 2025 Leave a comment
in econometerics, economics of information, entrepreneurship, financial economics Tags: active investing, efficient markets hypothesis, passive investing
The Anatomy of Marital Happiness
22 Mar 2025 Leave a comment
in applied price theory, econometerics, economic history, economics of love and marriage, industrial organisation, labour economics, population economics Tags: dating markets, economics of fertility, marriage and divorce, marriage premium
How can I not link to a new Sam Peltzman piece on such a topic? Here goes: Since 1972, the General Social Survey has periodically asked whether people are happy with Yes, Maybe or No type answers. Here I use a net “happiness” measure, which is percentage Yes less percentage No with Maybe treated as […]
The Anatomy of Marital Happiness
Institutional ownership of single-family housing
16 Mar 2025 Leave a comment
in applied price theory, applied welfare economics, econometerics, urban economics Tags: housing affordability
In the last decade, large financial institutions in the United States have purchased hundreds of thousands of homes and converted them to rentals. This paper studies the welfare consequences of institutional ownership of single-family housing. We build an equilibrium model of the housing market with two sectors: rental and homeownership. The model captures two key…
Institutional ownership of single-family housing
Is your master’s degree worthless?
11 Mar 2025 Leave a comment
in applied price theory, econometerics, economics of education, human capital, labour economics, labour supply
Economist: In America returns are especially large in computer science and in engineering. They are slightly smaller in other science subjects, in part because an undergraduate degree in these already bumps up salaries by quite a lot. Teachers who bag graduate degrees in education tend to earn more, even if wages for the profession as…
Is your master’s degree worthless?
Climate Crusade Is a Dead End
06 Mar 2025 Leave a comment
in econometerics, economic history, economics of climate change, economics of regulation, energy economics, environmental economics, environmentalism, global warming Tags: climate activists, climate alarmism
This post presents the main points and exhibits from Professor de Lange’s presentation February 26, 2025. Most images are self explanatory, with some excerpts in italics lightly edited from captions, and some added images as well. H/T Bud Bromley. Prof. de Lange demonstrates that there is no credible climate crisis, and that there is much […]
Climate Crusade Is a Dead End
15 years of US research on the minimum wage elasticity of employment
04 Mar 2025 Leave a comment
in applied price theory, econometerics, economic history, economics of regulation, labour economics, labour supply, minimum wage, poverty and inequality
It’s time to pick up my recent thread of posts on the minimum wage (most recently in this post). I want to return for a moment to more conventional research on the minimum wage, specifically looking at the effects of higher minimum wages on employment. The majority of minimum wage research has focused on estimating…
15 years of US research on the minimum wage elasticity of employment
Can Enhanced Street Lighting Improve Public Safety at Scale?
28 Feb 2025 Leave a comment
in applied price theory, econometerics, economics of crime, labour economics, law and economics, occupational choice Tags: crime and punishment, criminal deterrence, law and order
Street lighting is often believed to influence street crime, but most prior studies have examined small-scale interventions in limited areas. The effect of large-scale lighting enhancements on public safety remains uncertain. This study evaluates the impact of Philadelphia’s citywide rollout of enhanced street lighting, which began in August 2023. Over 10 months, 34,374 streetlights were […]
Can Enhanced Street Lighting Improve Public Safety at Scale?
Mandated Board Diversity Reduces Firm Value
27 Feb 2025 Leave a comment
in applied price theory, discrimination, econometerics, economics of regulation, financial economics, gender, industrial organisation, labour economics, occupational choice, politics - USA Tags: efficient markets hypothesis, sex discrimination
Jon Klick finds that when courts in CA surprisingly invalidated a set of DEI laws, the market value of firms subject to those laws increased: California mandated that firms headquartered in the state include women (SB 826) and underrepresented minorities (AB 979) on their corporate boards. These laws, passed in 2018 and 2020 respectively, were […]
Mandated Board Diversity Reduces Firm Value
Does the Feldstein-Horioka Puzzle mean National’s Foreign Investment Ambitions Won’t Raise NZ Productivity?
26 Feb 2025 Leave a comment
in applied price theory, econometerics, economic history, financial economics, history of economic thought, international economics, macroeconomics, politics - New Zealand Tags: foreign investment
The NZ Herald’s Editor has declared its journalists will be promoted or fired on the basis of factors like how many clicks they get on their articles. Yes, the Herald is now officially “click bait”. We’re trying to avoid the mistake of writing shallow nonsense at this Blog. So on that note, here’s a somewhat…
Does the Feldstein-Horioka Puzzle mean National’s Foreign Investment Ambitions Won’t Raise NZ Productivity?
Effects of the minimum wage on the nonprofit sector
19 Feb 2025 Leave a comment
in applied price theory, econometerics, economic history, labour economics, labour supply, minimum wage
After a few days of ‘rest’ (by which I really mean some intensely long work days), I’m going to pick up again on my recent series of posts about the minimum wage (see here for the most recent post), but returning to more familiar ground – the disemployment effects of the minimum wage. The story…
Effects of the minimum wage on the nonprofit sector
Must watch – Gigi Foster on lockdowns at PAEC
17 Feb 2025 Leave a comment
in applied price theory, applied welfare economics, comparative institutional analysis, econometerics, economics of natural disasters, health economics, politics - Australia Tags: economics of pandemics
Minimum Wages, Efficiency, and Welfare
17 Feb 2025 Leave a comment
in applied price theory, applied welfare economics, econometerics, labour economics, labour supply, minimum wage
Recently Alex raised some doubts, to say the least, about the Card-Krueger view of minimum wage hikes. Well, it turns out there is more, and a new consensus is on the verge of forming. Here are David Berger, Kyle Herkenhoff, and Simon Mongey, from a new Econometrica piece: Many argue that minimum wages can prevent efficiency […]
Minimum Wages, Efficiency, and Welfare
New Study: Today’s Climate Models ‘Do Not Agree With Reality’ And Thus Their Usefulness Is ‘Doubtful’
15 Feb 2025 Leave a comment
in econometerics, economic history, economics of climate change, energy economics, environmental economics, environmentalism, global warming
Because the current state-of-the-art general circulation models (GCMs) cannot simulate the trends and variances in global precipitation over the last 84 years (1940-2023), their usefulness should be reconsidered. Hydrological processes – ocean circulation, water vapor, clouds – are key components of climate, easily overshadowing the impact of anthropogenic CO2 emissions by a factor of 2,100…
New Study: Today’s Climate Models ‘Do Not Agree With Reality’ And Thus Their Usefulness Is ‘Doubtful’
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