I'm interested in public, labor, and organizational economics.
Published and forthcoming work
The Economics of the Public Option: Evidence from Local Pharmaceutical Markets
with Juan Pablo Atal, José Ignacio Cuesta, and Felipe González
American Economic Review, forthcoming
Abstract: We study the effects of competition by state-owned firms, leveraging the decentralized entry of public pharmacies to local markets in Chile. Public pharmacies sell the same drugs at a third of private pharmacy prices, because of stronger upstream bargaining and market power in the private sector, but are of lower quality. Public pharmacies induced market segmentation and price increases in the private sector, which benefited the switchers to the public option but harmed the stayers. The countrywide entry of public pharmacies would reduce yearly consumer drug expenditure by 1.5 percent.
Press Coverage: [Pauta] [The Clinic] [Sonar FM] [Las Últimas Noticias] [Chilevisión Noticias 1, 2] [CNN Chile] [LAPDE Podcast] [Diario Financiero 1, 2]
Policy Briefs: [by Centro de Competencia UAI]
Abstract: We study a regulation in Chile that mandates warning labels on products whose sugar or caloric concentration exceeds certain thresholds. We show that consumers substitute from labeled to unlabeled products—a pattern mostly driven by products that consumers mistakenly believe to be healthy. On the supply side, we find substantial reformulation of products and bunching at the thresholds. We develop and estimate an equilibrium model of demand for food and firms' pricing and nutritional choices. We find that food labels increase consumer welfare by 1.8% of total expenditure, and that these effects are enhanced by firms' responses. We then use the model to study alternative policy designs. Under optimal policy thresholds, food labels and sugar taxes generate similar gains in consumer welfare, but food labels benefit the poor relatively more.
Press Coverage: [El País] [Pauta] [Radio Usach] [Chilevision] [America Economía] [La Tercera] [CNN Chile] [BBC Sounds] [DiarioConVos] [Cadena 3] [Canal de la Ciudad] [DelSol] [Infobae] [Esto No es Economía] [Pivotes] [Centro Competencia] [La Nación]
Policy Briefs: [Ciper Chile] [Nada es Gratis]
Policy Discussion: [Centro UC Políticas Públicas]
National Institutions and Regional Development at Borders: Evidence from the Americas
with Francisco Gallego, César Huaroto, and Alejandro Sáenz
Applied Economics, 53(2): 205-220, 2020
Abstract: This paper explores how discontinuities created by national borders can influence development across the Americas. We exploit the discontinuous nature of borders jointly with exogenous variation at the national level to identify discontinuous effects on proxies for economic development at the regional and pixel levels. We separate the effects of national institutions from local historical conditions. Our analysis yields three main findings. First, we find important discontinuities in development across national borders for the Americas. Second, we also show that they are, for the most part, caused by institutional differences at the national level and not for differences at the regional level in geography, climate, endowments, and pre-colonization conditions. Third, we also present evidence that differences in national institutions affect human capital at the regional level.
Abstract: We study a regulation in Chile that mandates front-of-package warning labels on products whose sugar or caloric concentration exceeds certain thresholds. We find that after the introduction of the regulation, consumers reduced their overall sugar and caloric intake by 9% and 6%, respectively. This change is explained by consumers buying healthier products and firms reformulating their products. On the demand side, labels induce consumers to substitute within categories rather than between categories. On the supply side, we document bunching at regulatory thresholds, with substantial heterogeneity across categories. We provide insights to inform the design of effective food labeling policies.
Abstract: We study whether, and how, managers can increase government productivity in the context of public health provision. Using novel data from public hospitals in Chile, we document that top managers (CEOs) account for a significant amount of variation in hospital mortality. Using a staggered difference-in-differences design, we then show that a reform which introduced a competitive selection system for recruiting CEOs in public hospitals reduced hospital mortality by approximately 8%. The effect is not explained by a change in patient composition and is robust to several alternative explanations. The financial incentives included in the reform—performance pay and higher wages—do not explain our findings. Instead, we show that the policy changed the pool of CEOs by displacing older doctors with no management training in favor of younger CEOs who had studied management. The mortality effects were driven by hospitals in which the new CEOs had management studies. These CEOs improved operating room efficiency and reduced staff turnover.
Impuestos Justos para el Chile que Viene: Diagnóstico y Desafíos Tributarios para un Nuevo Pacto Fiscal
with Jorge Atria (eds.)
Fondo de Cultura Económica. November 2021 (1st Edition), September 2022 (2nd Edition)
Media (In Spanish)
Índice Gini y PIB en tres décadas [Decide Chile, 05/23]
Libro "Impuestos justos para el Chile que viene" y Reforma Tributaria [El Desconcierto, 11/22]
¿Es baja la carga tributaria en Chile? [Chile's Tax Reform Public Inquiry, 5/22]
Sanciones económicas a Rusia en el contexto de la invasión a Ucrania [Sonar FM 02/22]
Jorge Atria y Cristóbal Otero: La dupla tributaria que inspira al futuro gobierno [Diario Financiero, 12/21]
Libro "Impuestos justos para el Chile que viene" [CNN Chile, 11/21]
Impacto de las farmacias públicas en Chile [CNN Chile, 5/21]
Por qué la desigualdad importa [Podcast, Radio Cooperativa, 04/21]
Incorporación de trabajadores en los directorios [Radio Usach, 04/21]
Impuesto a la riqueza en Chile [CNN Chile 09/20]
Impuesto a la riqueza en Chile [Sonar FM 09/20]
Políticas laborales en tiempos de pandemia [Sonar FM 03/20]
Written (In Spanish)
Multa por hijo/a en Chile, with Dante Contreras and Pablo Muñoz [La Tercera, 07/23]
Foco de la reforma tributaria no debería estar en los ingresos medios [Diario Financiero, 04/23]
Notarios y legitimidad de la política [Diario Financiero, 02/23]
Debate: Sobre el impuesto a las empresas en Chile, with G. Lambeth and D. Vergara [Nuestros Impuestos, 08/21]
Por qué los trabajadores están en los directorios en gran de Europa. Razones políticas y económicas, with A. Mora [Ciper, 04/21]
Lecciones de la codeterminación alemana, with A. Mora [Ciper, 04/21]
Justicia en tiempos de pandemia: ¿Quién paga la cuenta?, with D. Vela [La Tercera, 04/21]
Los impuestos son políticos, with G. Lambeth and D. Vergara [Ciper, 12/19]
La desigualdad es una decisión política, with G. Lambeth and D. Vergara [Ciper, 12/19]
Cómo y por qué el gobierno permitirá a las empresas no pagar impuesto corporativo, with G. Lambeth and D. Vergara [Ciper, 07/19]
Evidencia contradice fe del gobierno en reintegración: bajar impuestos corporativos no garantiza más inversión, with G. Lambeth and D. Vergara [Ciper, 07/19]
Una reforma que aumenta la inequidad e incentiva la elusión, with G. Lambeth & D. Vergara [Ciper, 07/19]
Discurso pro-pyme: el caballo de Troya de la reforma tributaria, with G. Lambeth & D. Vergara [Ciper, 09/19]
Other fun stuff
Interview with Gabriel Zucman
with Juan Andrés Guzmán
May 2022, Tercera Dosis
Is Chile richer than Uruguay?
Has inequality decreased in Chile?
Amateur political philosophy: Social equality's (in)compatibilities with liberal egalitarianism
Sept 2016 | Dissertation, MSc. Philosophy of the Social Sciences, LSE
Why did I study philosophy? Here is a note on the program