Using the new macro data on risk aversion and patience by Falk et al. (2018), I show that risk aversion and patience are related to intelligence: high-IQ populations are more patient and more risk averse than low-IQ populations.
The correlation between patience and intelligence corroborates previous results based on micro data. Intelligent people tend to be patient because they have long time horizons.
The correlation between risk aversion and intelligence supports new micro data studies based on dynamically optimized sequential experimentation (Chapman et al. 2018).
Using cross-country data, I find the elasticity of substitution across sectoral inputs to be less than one for the broad sectors of the economy. Differences in relative prices account for a non-trivial share of the cross-country variation in sectoral linkages.
