Journal Article Deposit Demand and the Pricing of Demand Deposits: Reply Get access Bruce C. Cohen Bruce C. Cohen Northeastern University Search for other works by this author on: Oxford Academic Google Scholar The Quarterly Journal of Economics, Volume 86, Issue 1, February 1972, Pages 140–142, https://doi.org/10.2307/1880500 Published: 01 February 1972
I. Introduction, 456. —II. Input-output model tracing the impact of changes in the prices of imports on the prices of domestic products, 457.— III. Application of this model to Colombia, 458. — IV. Conclusion, 461.
Introduction, 604. —I. India's loss in expanding world markets, 606. — II. Empirical evidence that this declining market share was caused by an increase in the price of Indian exports relative to competitors' prices, 608. — III. Policies adopted by the Indian government to achieve goals with higher priority than export promotion, 611. — IV. Policy implications of the historical analysis if the Indian government should adopt a more vigorous export promotion policy, 617. —Appendix, 619.
Journal Article Employment and Industrialization: Comment Get access Benjamin I. Cohen, Benjamin I. Cohen Harvard University Search for other works by this author on: Oxford Academic Google Scholar Nathaniel H. Leff Nathaniel H. Leff Harvard University Search for other works by this author on: Oxford Academic Google Scholar The Quarterly Journal of Economics, Volume 81, Issue 1, February 1967, Pages 162–164, https://doi.org/10.2307/1879682 Published: 01 February 1967
Introduction, 112. — Theory construction (model building), 113. — General characteristics of computer models, 115. — Comparison of computer models with operations research simulations and econometric models, 117. — Methodological problems of computer models, 119. — Review of the literature, 121. — Future of computer models, 126.
Modigliani and Cohn hypothesize that the stock market suffers from money illusion, discounting real cash flows at nominal discount rates. While previous research has focused on the pricing of the aggregate stock market relative to Treasury bills, the money-illusion hypothesis also has implications for the pricing of risky stocks relative to safe stocks. Simultaneously examining the pricing of Treasury bills, safe stocks, and risky stocks allows us to distinguish money illusion from any change in the attitudes of investors toward risk. Our empirical results support the hypothesis that the stock market suffers from money illusion.
I. The concept of seigniorage, 495. — II. Its practical significance in the British case, 496. — III. The gross seigniorage gain from sterling, 498. — IV. The offsetting interest cost of the sterling balances, 502.
Modigliani and Cohn hypothesize that the stock market suffers from money illusion, discounting real cash flows at nominal discount rates. While previous research has focused on the pricing of the aggregate stock market relative to Treasury bills, the money-illusion hypothesis also has implications for the pricing of risky stocks relative to safe stocks. Simultaneously examining the pricing of Treasury bills, safe stocks, and risky stocks allows us to distinguish money illusion from any change in the attitudes of investors toward risk. Our empirical results support the hypothesis that the stock market suffers from money illusion.
It is often argued that cost-sharing-charging a subsidized, positive price-for a health product is necessary to avoid wasting resources on those who will not use or do not need the product. We explore this argument through a field experiment in Kenya, in which we randomized the price at which prenatal clinics could sell long-lasting antimalarial insecticide-treated bed nets (ITNs) to pregnant women. We find no evidence that cost-sharing reduces wastage on those who will not use the product: women who received free ITNs are not less likely to use them than those who paid subsidized positive prices. We also find no evidence that cost-sharing induces selection of women who need the net more: those who pay higher prices appear no sicker than the average prenatal client in the area in terms of measured anemia (an important indicator of malaria). Cost-sharing does, however, considerably dampen demand. We find that uptake drops by sixty percentage points when the price of ITNs increases from zero to $0.60 (i.e., from 100% to 90% subsidy), a price still $0.15 below the price at which ITNs are currently sold to pregnant women in Kenya. We combine our estimates in a cost-effectiveness analysis of the impact of ITN prices on child mortality that incorporates both private and social returns to ITN usage. Overall, our results suggest that free distribution of ITNs could save many more lives than cost-sharing programs have achieved so far, and, given the large positive externality associated with widespread usage of ITNs, would likely do so at a lesser cost per life saved. (c) 2010 by the President and Fellows of Harvard College and the Massachusetts Institute of Technology..