Final Report Summary - INTERMETRIX (Econometric Analysis of Interaction Models)
This project's broad theme is empirical analysis of interactions among firms, households and/or individuals. The main challenge in such circumstances is that theory does not uniquely pin down unique outcomes when actors are seen as responding (in some optimal way) to the strategies of other entities with whom they interact. This creates difficulties for the recovery of the payoff structure incentivising those individuals and for the computation of the reward framework consistent with the observed data.
The topics under study comprise both methodological issues and relevant applications in various domains. Among the former, we study for the strategic formation of connections among various individuals ("networks"), the retrieval of the peer structure from repeated observations of outcomes mediated by such linkages (e.g. educational achievement under peer effects), models where various agents decide on the timing of a particular action (e.g. joint retirement choices of husband and wife) and models where choices are repeatedly made among a small number of options (e.g. occupational choice over time). The empirical applications contemplated in this project comprise the analysis of local spillovers in social programme participation in Chile, the estimation of repeated investment choices in India, the analysis of risky behaviours in developing countries and consumer behaviour during a sharp change in prices.
Several research papers have already been published in well-known academic journals and/or presented in seminars and conferences. As a byproduct, relevant software has also been made available. A few of the research projects have been also discussed in the popular media.
The topics under study comprise both methodological issues and relevant applications in various domains. Among the former, we study for the strategic formation of connections among various individuals ("networks"), the retrieval of the peer structure from repeated observations of outcomes mediated by such linkages (e.g. educational achievement under peer effects), models where various agents decide on the timing of a particular action (e.g. joint retirement choices of husband and wife) and models where choices are repeatedly made among a small number of options (e.g. occupational choice over time). The empirical applications contemplated in this project comprise the analysis of local spillovers in social programme participation in Chile, the estimation of repeated investment choices in India, the analysis of risky behaviours in developing countries and consumer behaviour during a sharp change in prices.
Several research papers have already been published in well-known academic journals and/or presented in seminars and conferences. As a byproduct, relevant software has also been made available. A few of the research projects have been also discussed in the popular media.