In July 2001, the executive council of WAEA, the governing body responsible for approving new uses of the WAEA budget, voted to approve a payment of $50 for on-time first-round reviews of manuscripts submitted to JARE.
Although JARE policy encouraged electronic submission, many authors submitted manuscripts by mail.
The editors of JARE almost always used two referees for each manuscript.
An indicator variable measuring whether the referee was also the author of a manuscript under review in JARE at the same time was constructed.
Also, referees having published more articles in JARE tended to finish their reports more rapidly.
JARE editorial policy usually required two referee reports, so the effects of payments on reducing FRT depend on how payments might induce pairs of referees to respond on time.