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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Unions, managers and monopolies: how concentration and managerial power contribute to rising wage inequality

Grant Year: 2017

Grant Amount: $15,000

Grant Type: doctoral

The extent to which income inequality can be traced to shifts in the distribution of rents and/or to declines of workers’ share of those rents is an open and important question, one that researchers have had difficulty answering due to data limitations. This research will link multiple administrative datasets to assess how concentration in managerial power contributes to rising wage inequality. The research will make an important contribution to our understanding of the larger forces generating income inequality—specifically, how corporate decision-making that fuels market concentration may also fuel income inequality

The historical shadow of segregation on human capital and upward mobility

Grant Year: 2017

Grant Amount: $73,740

Grant Type: academic

This project expands on recent path-breaking work that has documented substantial variation in rates of social mobility across locations in the United States. Where children grow up has a strong influence on the probability that they will earn more than their parents in adulthood, with some regions highly mobile and others lagging far behind. This research suggests that regional differences in opportunity might be explained not only by contemporary characteristics but also by historical disparities. The researchers will merge the Panel Study of Income Dynamics (PSID) with Raj Chetty and others’ Equality of Opportunity dataset, and the Logan-Parman index of inequality, providing a profound advancement in the literature with strong policy implications.

Languages, laws and labor contracts

Grant Year: 2017

Grant Amount: $80,000

Grant Type: academic

The decline in bargaining power for large groups of workers is at the core of rising inequality. This research aims to provide some of the first causal evidence that contractual language is not merely cheap talk but rather meaningfully shapes the decisions of contracting parties in the labor market. The grant will support an effort to digitize union contracts stored at the Kheel Center at Cornell University. In addition to digitization, the researchers will use language processing tools to extract norms, commitments, and entitlements from the text. The result will be a tool that can be used to understand the role of unions in the 20th century. The dataset will be uniquely detailed, including features of union contracts based on industry sector, union, firm, and year of the contract. The research questions that might be answered with the data range from the fundamental—How are labor contractual terms determined, and how do contractual terms affect workers and firms?—to the more subtle—How and why do contractual terms begin to reflect legal changes and judicial decisions?

The optimal design of parental leave policies and gender equality: mismatch of skills across genders

Grant Year: 2017

Grant Amount: $15,000

Grant Type: doctoral

The goal of this study is to understand the welfare consequences from long-term skill mismatches due to childbirth and how maternity leave policies can help alleviate such mismatches. This research focuses on job match quality between men and women through joint decision-making, and its contribution to the gender wage gap. While the gender wage gap has been studied in relation to occupation or sector type, the job match paradigm within the context of household decision-making is less understood. Findings will be relevant to discussions of effective federal paid leave policies, among others.

Digital discrimination: a case of Airbnb

Grant Year: 2017

Grant Amount: $15,000

Grant Type: doctoral

This research will test a widely held perception that making ethnic information less prominent—rather than completely eliminating it—will reduce discrimination. The researcher will use a recent Airbnb policy change to empirically test this relationship empirically. Utilizing data from Airbnb, the research effectively builds on the literature using ethnic names on resumes to test for discrimination. This research will be able to focus attention on the continuing problem of racial discrimination for wages, particularly in the “gig,” or “platform,” economy

Manufacturing employment, trade and structural change

Grant Year: 2017

Grant Amount: $15,000

Grant Type: doctoral

The political resonance of the decline in U.S. manufacturing employment has reached a fever pitch in recent years, with calls for a return of manufacturing jobs. But how feasible is such a goal in light of structural changes in the U.S. economy, such as technological growth? This project will try to answer this question by developing a model that will decompose the total decline in manufacturing into decline due to structural change and decline due to increased international trade. It also aims to put the decline of manufacturing in a global perspective. It proposes to study cross-country patterns of structural change by studying 25 Organisation for Economic Co-operation and Development countries, offering a new look at the current controversy of trade versus technology in employment.

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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