Assistant Professor of Finance
In my research, I study how frictions such as network externalities, contracting, and labor search affect systemic risk and asset prices.
I develop a model of contagion that stems from endogenous risk-sharing when financial firms differ in distress levels.
Using bank reserve networks before and after the National Banking Acts in 1863-1864, we show that a centralized network is "robust-yet-fragile" to liquidity crises.
We show both empirically and theoretically that labor search frictions are an important determinant of the cross-section of equity returns.
We model top income earners as firm managers and derive a formula of optimal top tax rate based on readily available firm-level data on size and executive compensation.
I study asset prices in a two-agent production economy in which the worker has private information about her labor productivity.