This project studies structural changes in high dimensional factor models. Structural changes can be the consequence of technical progress, changes in preference, or policy regime shifts. Structural changes imply unstable relationships among economic variables. What underlines factor models is that a few common shocks can explain the co-movement of a large number of economic variables, so that information in a high dimensional data set can be summarized by a small number of common factors.
This project investigates how the provision of urban transportation infrastructure affect growth within cities and property values. Quantifying the effect of transportation projects on city growth and property values has proven difficult for at least two reasons. First, transportation infrastructure may produce growth and a rise in property values, but the latter may also lead to transportation projects.
In common-law jurisdictions, appellate judges construct legal rules over time by building on previous decisions, using the facts, reasoning, and outcomes described by previous judges to guide their rulings. In this scheme, high-quality appellate decision-making has beneficial spillovers by helping future judges make good decisions. As with all public officials, the performance of appellate judges will depend in part on their conditions of employment.