The consequences of many policies are complicated and difficult to foresee. Those who are capable of providing information to policy makers often have a vested interest in the outcomes. This gives them an incentive to distort information to manipulate polic decisions. In this article we argue that reputation or penalties for lying do not alway induce information providers to tell the truth. Rat...

A persistent fear regarding school choice is that it will lead to more racially distinctive schools. A growing number of studies compares choosing households to nonchoosing households, but few have examined the possibility that choosers sort themselves out based upon school preferences that are correlated with race and ethnicity. This report addresses this issue by analyzing the responses of 1,...

The Tiebout hypothesis (residential choice depends solely on local public goods) is extensively applied to explain geographic segregation, and the related literature finds that residents are segregated according to their heterogeneous preferences for public goods. This paper further examines the heterogeneous preferences for private goods in a spatial economy without public goods. Specifically,...