Replication data for: Beyond Statistics: The Economic Content of Risk Scores

Amy Finkelstein, Paul Schrimpf, Raymond Kluender & Liran Einav
\"Big data\" and statistical techniques to score potential transactions have transformed insurance and credit markets. In this paper, we observe that these widely-used statistical scores summarize a much richer heterogeneity, and may be endogenous to the context in which they get applied. We demonstrate this point empirically using data from Medicare Part D, showing that risk scores confound underlying health and endogenous spending response to insurance. We then illustrate theoretically that when individuals have heterogeneous...
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