This review provides a critical survey of psychology-and-economics (“behavioral-
economics”) research in contract theory. First, I introduce the theories of individual decision …

This article reviews and evaluates the empirical literature on adverse selection in insurance
markets. We focus on empirical work that seeks to test the basic coverage–risk prediction of …

This paper investigates consumer inertia in health insurance markets, where adverse
selection is a potential concern. We leverage a major change to insurance provision that …

Traditional models of insurance choice are predicated on fully informed and rational
consumers protecting themselves from exposure to financial risk. In practice, choosing an …

A landmark textbook on development economics The study of development in low-income
countries is attracting more attention around the world than ever before. Yet until now there …

The greatest obstacle to sound economic policy is not entrenched special interests or
rampant lobbying, but the popular misconceptions, irrational beliefs, and personal biases …

Why do many households remain exposed to large exogenous sources of nonsystematic
income risk? We use a series of randomized field experiments in rural India to test the …

We use employee-level panel data from a single firm to explore the possibility that
individuals may select insurance coverage in part based on their anticipated behavioral …

New business models combined with a lack of objective operating data result in significant
information asymmetry and uncertainty in the valuation of new firms in emerging markets …

There is a widespread perception, especially among economists, that agency relationships
should be as transparent as possible. By transparency, we mean the ability of the principal …