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\documentclass{scrartcl}
\usepackage[T1]{fontenc}
\usepackage[latin1]{inputenc}
\usepackage{lmodern}

\usepackage{natbib}

\usepackage{hyperref}
\hypersetup{%
   colorlinks = {true},
   urlcolor = {blue},
   linkcolor = {black},
   citecolor = {black},
   pdfauthor = {Arne Henningsen},
   pdftitle = {Testing BibTeX style for the
      American Economic Review (AER)},
   pdfkeywords = {AER, BibTeX, LaTeX}
}

\title{Testing Bib\TeX{} style for the
   ``American Economic Review'' (AER)}
\author{Arne Henningsen}

\begin{document}

\maketitle

\section{Citations}
\subsection{Citations in Text}
\citet{Black29} says A, \citet{Wold89} say B, \citet{Wold} say C,
\citet{Wold4} say D, \citet{Wold5} say E., \citet{Brown65} says F,
and the \citet{USDA65} says G.

\subsection{Citations in Parenthesis}
A equals B \citep{Black29}, B equals C \citep{Wold89}, C equals D \citep{Wold},
D equals E \citep{Wold4}, E equals F \citep{Wold5}, F equals G \citep{Brown65},
and G equals A \citep{USDA65}.
Hence, A, B, C, D, E, F, and G are all equal
\citep{Black29, Wold89, Wold, Wold4, Wold5, Brown65, USDA65}.

\nocite{*}
\bibliographystyle{aer}
\bibliography{ajae-test}

\end{document}