Econometrica

Journal Of The Econometric Society

An International Society for the Advancement of Economic
Theory in its Relation to Statistics and Mathematics

Edited by: Guido W. Imbens • Print ISSN: 0012-9682 • Online ISSN: 1468-0262

Econometrica: Jul, 2024, Volume 92, Issue 4

Presidential Address: Economics and Measurement: New measures to model decision making

https://doi.org/10.3982/ECTA21528
p. 947-978

Ingvild Almås, Orazio Attanasio, Pamela Jervis

Most empirical work in economics has considered only a narrow set of measures as meaningful and useful to characterize individual behavior, a restriction justified by the difficulties in collecting a wider set. However, this approach often forces the use of strong assumptions to estimate the parameters that inform individual behavior and identify causal links. In this paper, we argue that a more flexible and broader approach to measurement could be extremely useful and allow the estimation of richer and more realistic models that rest on weaker identifying assumptions. We argue that the design of measurement tools should interact with, and depend on, the models economists use. Measurement is not a substitute for rigorous theory, it is an important complement to it, and should be developed in parallel to it. We illustrate these arguments with a model of parental behavior estimated on pilot data that combines conventional measures with novel ones.


Log In To View Full Content

Supplemental Material

Supplement to "Presidential Address: Economics and Measurement: New measures to model decision making"

Ingvild Almås, Orazio Attanasio, and Pamela Jervis

This supplement contains material not found within the manuscript.

Supplement to "Presidential Address: Economics and Measurement: New measures to model decision making"

Ingvild Almås, Orazio Attanasio, and Pamela Jervis

The replication package for this paper is available at https://doi.org/10.5281/zenodo.10633530. The Journal checked the data and codes included in the package for their ability to reproduce the results in the paper and approved online appendices.


Comments & Corrigenda