Unions and the Sword of Justice: Unions and Pay Systems, Pay Inequality, Pay Discrimination and Low Pay

Dispersion in pay is lower among union members than among non-unionists. This reflects two factors. First, union members and jobs are more homogeneous than their non-union counterparts. Second, union wage policies within and across firms lower pay dispersion. Unions' minimum wage targets also truncate the lower tail of the union distribution. There are two major consequences of these egalitarian union wage policies. First, the return to human capital is lower in firms which recognise unions than in the unorganised sector. Second, unions compress the wage structure by gender, race and occupation.Unions, pay distribution, discrimination

Energy Tax Credits and Residential Conservation Investment

We model the decision to invest in residential energy conservation capital as an irreversible investment in the face of price uncertainty. The irreversible nature of this investment means that there is a value to waiting to invest (an option value) which helps explain the low rate of conservation investment as a result of the residential energy tax credit. Simulations suggest that a tax credit of the type implemented from 1978 through 1985 will not increase conservation investment significantly. We investigate the empirical evidence on the effectiveness of credits using data from a panel data set of roughly 38,000 individual tax returns followed over a three year period from 1979-1981. Unlike previous work, we find that the energy tax credit is statistically significant in explaining the probability of investing. Our estimates suggest that increasing the federal credit by 10 percentage points would increase the percentage of households claiming the credit from 5.7% to 7.1%.

Weak lensing of the Lyman-alpha forest

The angular positions of quasars are deflected by the gravitational lensing effect of foreground matter. The Lyman-alpha forest seen in the spectra of these quasars is therefore also lensed. We propose that the signature of weak gravitational lensing of the forest could be measured using similar techniques that have been applied to the lensed Cosmic Microwave Background, and which have also been proposed for application to spectral data from 21cm radio telescopes. As with 21cm data, the forest has the advantage of spectral information, potentially yielding many lensed "slices" at different redshifts. We perform an illustrative idealized test, generating a high resolution angular grid of quasars (of order arcminute separation), and lensing the Lyman-alphaforest spectra at redshifts z=2-3 using a foreground density field. We find that standard quadratic estimators can be used to reconstruct images of the foreground mass distribution at z~1. There currently exists a wealth of Lya forest data from quasar and galaxy spectral surveys, with smaller sightline separations expected in the future. Lyman-alpha forest lensing is sensitive to the foreground mass distribution at redshifts intermediate between CMB lensing and galaxy shear, and avoids the difficulties of shape measurement associated with the latter. With further refinement and application of mass reconstruction techniques, weak gravitational lensing of the high redshift Lya forest may become a useful new cosmological probe.Comment: 9 pages, 7 figures, submitted to MNRA

Noise Estimates for Measurements of Weak Lensing from the Lyman-alpha Forest

We have proposed a method for measuring weak lensing using the Lyman-alpha forest. Here we estimate the noise expected in weak lensing maps and power spectra for different sets of observational parameters. We find that surveys of the size and quality of the ones being done today and ones planned for the future will be able to measure the lensing power spectrum at a source redshift of z~2.5 with high precision and even be able to image the distribution of foreground matter with high fidelity on degree scales. For example, we predict that Lyman-alpha forest lensing measurement from the Dark Energy Spectroscopic Instrument survey should yield the mass fluctuation amplitude with statistical errors of 1.5%. By dividing the redshift range into multiple bins some tomographic lensing information should be accessible as well. This would allow for cosmological lensing measurements at higher redshift than are accessible with galaxy shear surveys and correspondingly better constraints on the evolution of dark energy at relatively early times.Comment: 8 pages, 8 figures, submitted to MNRA

The Incidence of a U.S. Carbon Tax: A Lifetime and Regional Analysis

This paper measures the direct and indirect incidence of a carbon tax using current income and two measures of lifetime income to rank households. OUr results suggest that carbon taxes are more regressive when annual income is used as a measure of economic welfare that when proxies for lifetime income are used. Further, the direct component of the tax, in any given year, is significantly more regressive than the indirect component. In fact, for 1987, the indirect component of the tax is mildly progressive. We observe a modest shift over time with the direct component of carbon taxes becoming less regressive and the indirect component becoming more regressive. These effects mostly offset each other and the distribution of the total tax burden has not changed much over time. In addition we find that regional variation has fluctuated over the years of our analysis. By 2003 there is little systematic variation in carbon tax burdens across regions of the country.