Papers
Uploaded: Aug 12, 2025
Equilibrium in a DeFi Lending Market
We develop a model of Decentralized Finance (DeFi) lending platforms that set interest rates as programmable functions of the utilization of available funds. These platforms are unable to incorporate off-chain information into the platform’s interest rates, leading to inefficient DeFi...
Uploaded: Aug 5, 2025
How (Not) to Identify Demand Elasticities in Dynamic Asset Markets
We evaluate approaches to estimating demand elasticities in dynamic asset markets, both theoretically and empirically. We establish strict, necessary conditions that the dynamics of instrumented asset price variation must satisfy for valid identification. We illustrate these insights in a general...
Uploaded: Aug 4, 2025
Investment Sophistication and Wealth Inequality
I study the equilibrium behavior of wealth distribution in a dynamic model of financial markets with multiple groups of rational investors who may differ in their information sets, as well as a group of irrational investors with incorrect beliefs. The...
Uploaded: Aug 4, 2025
Running Responsibly
Prosocial banks avoided panic runs despite weak fundamentals. We show that socially responsible investments deter panic runs in any global game with nonrival public goods, even if every depositor is atomistic, rational, and selfish. We study financial and social impacts...
Uploaded: Aug 4, 2025
Firms as Electoral Monopsonies
We study how dominant employers can act as electoral monopsonies, directly shaping electoral outcomes by leveraging local labor market power. We consider a model where a dominant employer can reshape the political preferences of the local electorate by conditioning their...
Uploaded: Aug 4, 2025
Demand Elasticity in Dynamic Asset Pricing
We show that the standard econometric approach relying on exogenous residual supply shocks systematically underestimates the slope of investors' asset demand curves in dynamic settings. We develop a multi-asset, multi-agent continuous-time model featuring long-lived investors and short-lived hedgers whose demand...
