Funded Research

Our funding interests are organized around the following four drivers of economic growth: macroeconomics and inequality, market structure, the labor market, and human capital and wellbeing. We consider proposals that investigate the consequences of economic inequality, as well as group dimensions of inequality; the causes of inequality to the extent that understanding these causal pathways will help us identify and understand key channels through which inequality may affect growth and stability; and the ways in which public policies affect the relationship between inequality and growth.

Explore the Grants We've Awarded

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The Distributional Effects of Firm Productivity Changes: Evidence from U.S. Linked Worker-Owner Data

Grant Year: 2024

Grant Amount: $30,000

Grant Type: academic

This project will estimate exactly which individuals benefit when firms become more  productive and whether these are the same individuals who bear the costs when firms do poorly. The author will use novel linked worker-owner administrative data from the United States. Specifically, he will use data covering the universe of pass-through firms in the United States to identify each firm’s workers and owners, and measure their total compensation from the firm. He will link these data to quasi-experimental, firm-specific productivity shocks to estimate the distributional effects of productivity changes. This will allow for an understanding of how productivity shocks affect workers and owners in various ways.

COVID-19 Relief Funding and the Child Care Workforce

Grant Year: 2024

Grant Amount: $80,000

Grant Type: academic

Policymakers are grappling with how to support the child care sector after the COVID-19 public health crisis. Problems with the child care sector were apparent well before the onset of the pandemic: Parents paid high care costs, care workers were underpaid and left the field in high numbers, child care programs experienced unsustainable operating costs and closed their doors, and child care quality suffered. Without access to safe and affordable care, parents work less and have less income, and businesses struggle to retain qualified workers. This project will study a new initiative to increase public funding for U.S. child care workers via a wage supplement program with funding from the American Rescue Plan Act. In 2022, the state of Wisconsin and the city of Milwaukee, Wisconsin substantially expanded the statewide REWARD program, which provides financial support to early childhood educators, and the City of Milwaukee Early Childhood Workforce Stipend Program. The expanded programs dramatically increased stipends available to eligible caregivers. The authors will examine the extent to which increased wage supplements keep qualified workers in the field and reduce turnover in the childcare workforce. Evidence from similar programs in other states finds a significant reduction in teacher turnover, indicating that wage subsidies could be effective. Given the dearth of research on the effectiveness of stipends, this research could provide more evidence to shape policy solutions.

Big Daycare: The Impact of Private Equity-Owned Child Care Businesses on the Market for Early Care and Education

Grant Year: 2024

Grant Amount: $30,000

Grant Type: academic

This project aims to fill the gap on the impact that private-equity-owned child care businesses have on the structure and functioning of the early child care market. The author seeks to answer the following questions: How does private equity affect the market for early career and education? In particular, how different are private-equity-backed child care centers from other child care centers? How do centers change when taken over by a private equity firm? How does the entrance of a private-equity-backed center impact other private and public providers? This research is poised to fill a large void in the child care literature: the role of for-profit providers and, in particular, the effects of new entrants and private-equity-owned operations into child care markets.   

Labor Market Collusion through Common Leadership

Grant Year: 2024

Grant Amount: $30,000

Grant Type: academic

This project studies how firms collude in labor markets, studying an overlooked potential mechanism: common leadership, in which the same person holds high-level leadership positions in two competing firms. Common leadership is prohibited by antitrust law, but until the past few years, enforcement was nearly nonexistent. This study focuses on collusion in labor markets in the form of no-poach agreements—specifically, how entry into such agreements affects worker mobility and career trajectories. Preliminary results find entry into collusive agreements in the years following connection through common leadership. No-poach agreements are extremely difficult to study since they are secret in nature. The author will use the largest known case of labor market collusion to overcome this data challenge. In the late 2000s, more than 50 tech companies entered into no-poach agreements. She will use three primary sources of data: court documents, data on worker histories, and biographical data on company executives.

Causes and Consequences of Incomplete Unemployment Insurance Take-Up

Grant Year: 2024

Grant Amount: $15,000

Grant Type: academic

This research proposal seeks to answer three related questions regarding the barriers to accessing Unemployment Insurance benefits. First, what are the underlying causes of incomplete UI take-up for individual workers? Second, do the barriers to take-up disproportionately impact low-income, marginalized workers in a way that creates inequities in the UI program? Third, in what ways can outreach from workforce agencies boost UI take-up to better support workers and reduce inequities? To answer these questions, the author will utilize administrative data from the Washington State Employment Security Department. He will then field a survey of unemployed workers and combine findings with an analysis of administrative records. Together, this will inform the implementation of a field experiment, administered in partnership with the Employment Security Department, to explore how UI receipt can be increased, particularly for vulnerable populations.

Worker Led Lawsuits: The Effects of California’s Private Attorney Generals Act

Grant Year: 2024

Grant Amount: $15,000

Grant Type: doctoral

This research explores how worker-led lawsuits under California’s Private Attorneys General Act, or PAGA, impact firm size, survival, relocation decision, employment, and wages. The author will rely on two main data sources. First, she will leverage publicly available administrative data on PAGA claims and settlements from California’s Department of Industrial Relations. While PAGA claims data are publicly available online through PAGA Case Search tool, they have yet to be compiled and published in a way that facilitates research. Compilation, cleaning, and creation of this dataset to be made publicly available is an important contribution of this project. It is also critical to understand whether the Private Attorneys General Act is an effective tool for supporting worker rights.   

Funded research

Human Capital and Wellbeing

How does economic inequality affect the development of human capital, and to what extent do aggregate trends in human capital explain inequality dynamics?

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Funded research

Macroeconomics and Inequality

What are the implications of inequality on the long-term stability of our economy and its growth potential?

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Funded research

Market Structure

Are markets becoming less competitive and, if so, why, and what are the larger implications?

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Funded research

The Labor Market

How does the labor market affect equitable growth? How does inequality in turn affect the labor market?

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