This dissertation consists of three essays in microeconomic theory. In the first two chapters, I study a class of partnerships where partners can exit and continue to free-ride on the remaining partners' efforts. The crucial force to deter players from strategic exiting is the ripple effect that it may trigger...
Chapter 1: If patients can be persuaded to switch between licensed providers on the basis of authoritative opinions, policy-makers can harness such reporting as a tool to implement incentives for high-quality care. I employ the landmark Flexner Report (1910) medical school evaluations to show that existing consumer beliefs and market-specific...
This dissertation contains two topics. The first topic focuses on how to use information design to minimize costs of implementing a policy that guarantees 100% passing rate of all participants by providing enough compensation for the their effort. The second topic explores an auction setting which involves financially distressed business...
This thesis consists of three chapters: two are empirical studies of policy design in small-business lending markets, while the final is a large-scale retrospective of retail mergers. Chapter 1 examines moral hazard in loan guarantee programs. To address credit constraints in small-business lending markets, policymakers frequently rely on loan guarantees,...
This dissertation studies three aspects of healthcare market regulation.
Chapter 1 studies the optimal design of quality scores for health insurance plans. Regulators often generate quality scores to help consumers with limited information about product quality, as in schooling, healthcare, and financial markets. When designing scores, regulators must not only...
Individual responses are an important determinant of public policy effectiveness. Development policies often try to remove barriers that limit the ability to make the preferred choices, hoping that this will lead to prosperity at the individual and aggregate levels. However, removing some, but not all, barriers can lead to undesirable...
In most markets, consumers of goods and services have vastly more options available to them than they will consider closely. At the point of making a decision, consumers are choosing between only a small subset (i.e., a consideration set) of all possible alternatives. The preceding process that forms these consideration...
This dissertation contains two chapters. The first one is on microenterprises in developing countries and how they face competition from large corporations. The second one is on estimating the causal effect of childcare availability on the formation and persistence of gender gaps in the Mexican labor market. The first chapter...
Political stability is fundamental for economic development. Understanding the determinants and consequences of political stability is thus an important topic in development economics and political economy. This dissertation studies how political or economic instability influences economic development and, in turn, how economic factors influence political stability. In Chapter 1, I...
This dissertation comprises three essays that study dynamic decisions under uncertainty--in particular, ambiguity. The first two chapters develop new decision models that emphasize the role of making statistical inferences in decisions. The third chapter highlights, in the context of persuasion, how different decision models can lead to distinct conclusions in...