The Julis-Rabinowitz Center for Public Policy & Finance (JRCPPF) was well represented at the American Economic Association’s 2018 annual meeting. The meeting was held in Philadelphia between the 5th and 7th of January and featured many JRCPFF faculty affiliates presenting research papers and participating in panel discussions.
The American Economic Association, in conjunction with 59 associations in related disciplines known as the Allied Social Science Associations (ASSA), holds a three-day meeting each January to present papers on general economics topics. Over 13,450 of the best minds in economics are assembled to network and celebrate new achievements in economic research
JRCPPF director Atif Mian presented two research papers. The first, titled “Rising Inequality, Household Debt, And The Slow Recovery After Great Recession” (with Amir Sufi and Emil Verner) examines whether there is a link between the rise in inequality and increase in household debt, and the slow recovery after the Great recession using tax record and credit bureau data. The second, “How Do Credit Supply Shocks Affect the Real Economy? Evidence from the United States in the 1980s” (also with Amir Sufi and Emil Verner) uses data relating to the 1980s credit boom in the US to examine how credit supply shocks affect the business cycle. Mian also participated in a panel discussion on “Monetary Policy in 2018 and beyond” chaired by Princeton professor Alan Blinder.
Adrien Matray and Maryam Farboodi presented “Where Has All the Big Data Gone” (with Laura Veldkamp), which aims to explain why the vast increase in data being processed in the financial sector has not benefited the majority of firms.
Farboodi additionally acted as a discussant for the session “Aggregate Implications of Belief Heterogeneity” and presented another two papers. “Long Run Growth of Financial Data Technology” (with Laura Veldkamp) proposes a model which can potentially reconcile the trends of increasing price informativeness and stagnating market liquidity. “The Evolution of Market Structure” (with Gregor Jarosh and Robert Shimer) provides a model which can potentially explain the origins and implications of the heterogeneity observed in over-the-counter markets.
Nicola Limodio, who has recently joined JRCPPF as a visiting fellow, presented “Liquidity Requirements and Bank Deposits: Evidence from Ethiopia” (with Francesco Strobbe). This paper examines the effect liquidity requirements can have on deposit growth, utilising an unexpected policy change in Ethiopia.
Motohiro Yogo presented “Quantitative Easing in the Euro Area: The Impact on Risk Exposures and Asset Prices” (with Ralph Koijen and Francois Koulischer), which utilises new data on portfolio holdings of institutional investors and households in the Euro area to examine the impact on of the ECB’s quantitative easing programme on asset prices and risk exposures.
David Schoenherr presented two papers: “Political Connections and Allocative Distortions” uses the institutional set-up in Korea to examine how the allocation of government procurement contracts is affected by firms’ political connections. “Unemployment Insurance, Strategic Unemployment and Firm-worker Collusion” (with Bernardua V. Doornik and Janis Skrastins) uses an unexpected reform of unemployment insurance in Brazil to explore whether firms and workers collude to take advantage of unemployment benefits.
Visit the AEA website for webcasts of selected sessions and the individual researcher’s homepages for links to the papers when available.