Research Interest: Political Economy and Health Economics

 

1) POLITICAL ECONOMY

Electoral Uncertainty and the Stability of Coalition Governments

Abstract: In multiparty parliamentary democracies government coalitions frequently reshuffle the allocation of cabinet posts, and cabinets terminate before the end of the legislature. I interpret these events as equilibrium outcomes of a strategic interaction among political parties. Parties' incentives to terminate the government and seek early elections depend on future electoral prospects, and electoral opinion polls convey information regarding possible shifts in the electoral support. I develop a dynamic strategic model of government formation and termination, and structurally estimate the model using newly collected data on eleven Western European parliamentary democracies over the period 1970-2002. Using the estimated model I conduct counterfactual experiments aimed at evaluating the effects of poll informativeness and institutional features on the survival probabilities of coalition governments.

 

Good Old Spendthrift. The Fiscal Effects of Political Tenure

(with Matias Iaryczower and Andrea Mattozzi) – coming soon!

Abstract: Using a newly collected data set covering sixty-two countries over the period 1945-2006, we construct a number of measures of political tenure and we document a robust negative (positive) effect of political tenure on the size of government surplus (expenditure). We also provide a theoretical model that accounts for the established facts.

 

Negative Advertising and Political Competition

(with Amit Gandhi and Carly Urban)

Abstract: Why is negative advertising such a prominent feature of competition in the "political market"? A possible explanation hinges on the "fewness" of competitors in a political race. We often observe two-candidate races (i.e., duopolies) where there is a simple economic rationale for "going negative": when the number of competitors is greater than two, engaging in negative ads creates positive externalities for opponents that are not the object of the attack. On the contrary, positive ads benefit only the advertiser. To empirically investigate the hypothesis that the number of competitors explains the volume of negative advertising in an election, we focus on US non-presidential primary contests in 2004, where the nature of primaries provides us with a cross section of independent races and large variation in the number of entrants. Our estimation employs novel data from the Wisconsin Advertising Project, which contains information on all political advertisements aired in the top 100 media markets in 2004 races. We document that duopolies are twice as likely to air a negative ad when compared to non-duopolies, and that doubling the number of competitors in a race leads to approximately a 35-40 percent decline in the likelihood of an ad being negative. These results are robust to the inclusion of a variety of controls and instruments for entrants in the race.

 

License to Spend? Political Capital and Government Expenditure in the Post-War Period (work in progress)

 

 

 

2) HEALTH ECONOMICS

Caught in the Bulimic Trap? Persistence and State Dependence of Bulimia Among Young Women

(with Michelle Goeree and John Ham)                                                                            

Abstract: Eating disorders are an important and growing health concern, and bulimia nervosa (BN) accounts for the largest fraction of eating disorders (ED). Health consequences of BN are substantial and especially serious given the increasingly compulsive nature of the disorder. However, remarkably little is known about the mechanisms underlying the persistent nature of BN. Using a unique panel data set on young women and instrumental variable techniques, we document that unobserved heterogeneity plays a role in the persistence of BN, but strikingly up to two thirds is due to true state dependence. Our results, together with support from the medical literature, provide evidence that bulimia should be considered an addiction. Our findings have important implications for public policy since they suggest that the timing of the policy is crucial: preventive educational programs should be coupled with more intense (rehabilitation) treatment at the early stages of bingeing and purging behaviors. Our results are robust to different model specifications and identifying assumptions.

 

Press Reactions: Chicago-Sun Times; Guardian; Science Update (radio feature for Science); Teen Vogue; USC news release; PBS Tavis Smiley

Supplement Material

 

Race, Social Class and Bulimia Nervosa

(with Michelle Goeree and John Ham)                                                                            

Abstract: In this paper we explore a serious eating disorder, bulimia nervosa (BN), which afflicts a surprising number of girls in the US. We challenge the long-held belief that BN primarily affects affluent White teenagers, using a unique data set on adolescent females evaluated regarding their tendencies towards bulimic behaviors independent of any diagnoses or treatment they have received. Our results reveal that African Americans are more likely to exhibit bulimic behavior than Whites; as are girls from low income families compared to middle and high income families. The fact that our results stand in stark contrast to the popular conceptions of who is most likely to struggle with bulimia may arise from differences in diagnosis across racial and income classes. Our findings have important implications for public policy since they provide direction to policy makers regarding which adolescent females are most at risk for BN. Our results are robust to different model specifications and identifying assumptions.

 

Press Reactions: Chicago-Sun Times; Guardian; Science Update (radio feature for Science); Teen Vogue; USC news release; PBS Tavis Smiley

 

 

Education, HIV Status and Risky Sexual Behavior: How Much Does the Stage of the HIV Epidemic Matter?

(with Raül Santaeulŕlia-Llopis)

Abstract: We document the relationship between individual educational attainment and the probability of being HIV-infected using nationally representative data for eighteen countries in sub-Saharan African (SSA). As the sexual behavior response to the HIV epidemic may differ across education groups, we explicitly consider the possibility of nonstationary dynamics between education and HIV status over aggregate stages of the HIV epidemic. Our contribution is threefold. First, we define the stages of the HIV epidemic by using an innovative algorithm that positions the country-specific HIV epidemic of any set of SSA countries on the same, hence comparable, normalized space. Second, we document a nonstationary U-shaped (positive-negative-positive) comovement between education and HIV status over stages of the HIV epidemic. Third, we explore which underlying margin of risky sexual behavior (e.g. number of sexual partners other than spouses in the last twelve months, condom use, stability of sexual partnerships and age at sexual debut) can help explain the relationship between education and HIV. We find that changes in the number of sexual partners (excluding spouses) in the last twelve months largely support this U-shaped pattern between education and HIV. Other margins of sexual behavior show much less responsiveness to the HIV epidemic. Our findings are in sharp contrast with current pro-poor HIV policy guidelines, and suggest that a shift toward nonstationary frameworks for HIV policy evaluation that condition on the stage of the HIV epidemic and incorporate the number of extramarital partners as a primary shaper of the HIV epidemic is deeply needed.

 

Companion site