Working Papers
Limited Consideration and Time Discounting in Mortgage Refinancing Decisions, with Haizhen Lin, Ruli Xiao, and Jun Zhu
Abstract: This paper develops a structural dynamic discrete choice model with random consideration sets, using the Home Affordable Refinance Program (HARP) as a case study. While dynamic discrete choice models are commonly used across various fields to empirically analyze intertemporal decision-making, existing approaches assume that decision-makers pay attention to available choice options each period. The model relaxes this assumption by separately identifying consideration probabilities, the utility function of each alternative without imposing a normalization, and the discount factor. Results suggest that inattention is the main barrier to optimal refinancing, with myopia and mental switching costs becoming relatively more important over time as awareness grows.
How Does Specialty Care Access Affect Preventive Behavior? Evidence from Robotic Surgery Adoption
Abstract: This paper studies how access to advanced medical technologies—specifically, robotic surgery—affects preventive care behavior. I combine a change in U.S. Preventive Services Task Force screening guidelines with staggered hospital-level adoption of robotic surgery to estimate the causal effect of downstream treatment availability on preventive screening. Using a triple-differences design, I find that screening rates increased more in areas with greater access to robotic surgery following the guideline shift. Evidence suggests that this increase is driven by a higher likelihood of patients visiting primary care providers, rather than changes in physician behavior. These findings indicate that the presence of specialized treatment options can increase engagement with preventive care by encouraging patients to initiate contact with the healthcare system.
