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Author: Keys, Benjamin J.
Resulting in 4 citations.
1. Cadena, Brian C.
Keys, Benjamin J.
Human Capital and the Lifetime Costs of Impatience
Working Paper, Social Science Research Network (SSRN), August 10, 2012; Revised May 2014.
Also: http://papers.ssrn.com/sol3/papers.cfm?abstract_id=1674068
Cohort(s): NLSY79
Publisher: Social Science Electronic Publishing, Inc.
Keyword(s): Armed Forces Qualifications Test (AFQT); Behavior; Behavioral Differences; Behavioral Problems; College Dropouts; Earnings; Educational Aspirations/Expectations; Educational Attainment; Human Capital; National Longitudinal Study of Adolescent Health (AddHealth); Noncognitive Skills; Personality/Big Five Factor Model or Traits

Permission to reprint the abstract has not been received from the publisher.

In this paper, we examine the role of impatience in the formation of human capital - arguably the most important investment decision individuals make during their lifetimes. We pay particular attention to a set of investment behaviors that cannot be explained solely by variation in exponential discount rates. Using data from the NLSY and a straightforward measure of impatience, we find that impatient people systematically acquire lower levels of multiple measures of human capital and that a substantial fraction of these differences arise from dynamically inconsistent behavior, such as starting an educational program but failing to complete it. The cumulative investment differences result in the impatient earning 18 percent less and expressing significantly more regret as this cohort reaches middle age.
Bibliography Citation
Cadena, Brian C. and Benjamin J. Keys. "Human Capital and the Lifetime Costs of Impatience." Working Paper, Social Science Research Network (SSRN), August 10, 2012; Revised May 2014.
2. Cadena, Brian C.
Keys, Benjamin J.
Human Capital and the Lifetime Costs of Impatience
American Economic Journal: Economic Policy 7,3 (August 2015): 126-153.
Also: https://www.aeaweb.org/articles?id=10.1257/pol.20130081
Cohort(s): NLSY79
Publisher: American Economic Association
Keyword(s): Armed Forces Qualifications Test (AFQT); College Dropouts; Educational Aspirations/Expectations; Educational Attainment; Human Capital; Personality/Big Five Factor Model or Traits; Time Preference

Permission to reprint the abstract has not been received from the publisher.

In this paper, we examine the role of impatience in human capital formation, arguably the most important investment decision individuals make during their lifetimes. We focus on a set of investment behaviors that cannot be explained solely by variation in exponential discounting. Using data from the NLSY and a straightforward measure of impatience, we find that impatient people more frequently invest in dynamically inconsistent ways, such as dropping out of college with one year or less remaining. The cumulative investment differences result in the impatient earning 13 percent less and expressing more regret as this cohort reaches middle age.
Bibliography Citation
Cadena, Brian C. and Benjamin J. Keys. "Human Capital and the Lifetime Costs of Impatience." American Economic Journal: Economic Policy 7,3 (August 2015): 126-153.
3. Keys, Benjamin J.
The Credit Market Consequences of Job Displacement
Review of Economics and Statistics 100,3 (July 2018): 405-415.
Also: https://www.mitpressjournals.org/doi/abs/10.1162/REST_a_00709
Cohort(s): NLSY79
Publisher: MIT Press
Keyword(s): Bankruptcy; Credit/Credit Constraint; Displaced Workers; Geocoded Data; Unemployment

This paper studies the role of job displacement in the household bankruptcy decision. Using an event-study methodology, I find that NLSY respondents are over three times more likely to file for bankruptcy immediately following a job loss. Using county-level data, I find similar magnitudes in the aggregate, with significant effects lasting two to three years. In addition, the loss of a manufacturing job, a proxy for a more persistent separation, is 40 percent more likely to lead to bankruptcy. The results suggest that unemployment spells can have significant long-term consequences on households' credit market outcomes.
Bibliography Citation
Keys, Benjamin J. "The Credit Market Consequences of Job Displacement." Review of Economics and Statistics 100,3 (July 2018): 405-415.
4. Keys, Benjamin J.
Three Essays on Labor and Credit Markets
Ph.D. Dissertation, Department of Economics, University of Michigan, 2009
Cohort(s): NLSY79
Publisher: ProQuest Dissertations & Theses (PQDT)
Keyword(s): Bankruptcy; Displaced Workers; Geocoded Data; Income Dynamics/Shocks

Permission to reprint the abstract has not been received from the publisher.

The first paper demonstrates the important role of job displacement in the household bankruptcy decision. Consistent with predicted filing behavior under persistent income shocks, I find that households in the NLSY are four times more likely to file in the year following job loss, with a smaller but significant response persisting two to three years. Aggregate patterns are also consistent with the model: At the county level, 1000 job losses are associated with 8-11 bankruptcies, the effects also last two to three years, and manufacturing job loss is more likely to induce bankruptcy than non-manufacturing job loss. The results suggest that providing credit counseling to vulnerable households at the time of displacement may be more effective than providing it at the time of bankruptcy.
Bibliography Citation
Keys, Benjamin J. Three Essays on Labor and Credit Markets. Ph.D. Dissertation, Department of Economics, University of Michigan, 2009.