Learn More
  • Robert J Barro, Alberto Alesina, Marios Angeletos, Olivier Blanchard, John Campbell, Gene Fama +19 others
  • 2006
The potential for rare economic disasters explains a lot of asset-pricing puzzles. I calibrate disaster probabilities from the twentieth century global history, especially the sharp contractions associated with World War I, the Great Depression, and World War II. The puzzles that can be explained include the high equity premium, low risk-free rate, and(More)
  • Raphael Bergoeing, Patrick J Kehoe, Timothy J Kehoe, Raimundo Soto, Edgardo Barandiarán, Bob Lucas +3 others
  • 2001
*We would like to thank the participants at the Minneapolis Fed's " Great Depressions of the Twentieth Century " Conference — especially Pete Klenow — and participants at seminars at the Centre de Recerca de Economia de Benestar and the East-West Center for helpful comments. We are also grateful to The views expressed herein are those of the authors and not(More)
  • Rodolfo E Manuelli, Ananth Seshadri, Seshadri, We, Gary Becker, Bart Hobijn +8 others
  • 2005
We reevaluate the role of human capital in determining the wealth of nations. We use standard human capital theory to estimate stocks of human capital and allow the quality of human capital to vary across countries. Our model can explain differences in schooling and earnings profiles and, consequently, estimates of Mincerian rates of return across(More)
  • Virgiliu Midrigan, Daniel Yi Xu, Paco Buera, Andres Rodriguez-Claire, Mark Gertler, Joe Kaboski +3 others
  • 2010
We study a model of establishment dynamics in which entrepreneurs face a financing constraint. We ask: does the model, when parameterized to match salient features of plant-level data, predict large aggregate TFP losses from misallocation? Our answer is: No. We estimate financing frictions that are fairly large: in our economy half of the establishments(More)
Over the last twenty years, the open source community has provided more and more software on which the world's High Performance Computing (HPC) systems depend for performance and productivity. The community has invested millions of dollars and years of effort to build key components. But although the investments in these separate software elements have been(More)
  • Ali Hortaçsu, Chad Syverson, Judy Chevalier, Lars Hansen, Tom Hubbard, Boyan Jovanovic +7 others
  • 2003
* Zvi Eckstein and Alan Sorenson provided thoughtful suggestions regarding earlier drafts. We have also benefited from discussions with Abstract Two salient features of the competitive structure of the U.S. mutual fund industry are the large number of funds and the sizeable dispersion in the fees funds charge investors, even within narrow asset classes.(More)
  • Aleksander Berentsen, Guido Menzio, Randall Wright, Ken Burdett, Marcus Hagedorn, Alan Head +4 others
  • 2007
We study the long-run relation between money, measured by inflation or interest rates, and unemployment. We first discuss data, documenting a strong positive relation between the variables at low frequencies. We then develop a framework where both money and unemployment are modeled using explicit microfoundations, integrating and extending recent work in(More)
  • Benjamin Moll, Rob Townsend, Fernando Alvarez, Paco Buera, Jean-Michel Lasry, Bob Lucas +30 others
  • 2009
I develop a highly tractable general equilibrium model in which heterogeneous producers face collateral constraints, and study the effect of financial frictions on capital misallocation and aggregate productivity. My economy is isomorphic to a Solow model but with time-varying TFP. I argue that the persistence of idiosyncratic productivity shocks determines(More)
  • Fernando Alvarez, N B E R Urban, J Jermann, Rochester, Andy Abel, Andrew Akeson +5 others
  • 1999
We measure the cost of consumption fluctuations using an approach that does not require the specification of preferences and instead uses asset prices. We measure the marginal cost of consumption fluctuations, the per unit benefit of a marginal reduction in consumption fluctuations expressed as a percentage of lifetime consumption. We find that the gains(More)
  • Gary Becker, Ben Bernanke, John Cawley, Bob Hall, Jim Heckman, Steve Levitt +10 others
  • 1998
Lance Lochner generously provided their life cycle estimates of worker-financed training time. Abstract Most studies of the intertemporal substitution of work use life cycle data and, from those studies, many have concluded that intertemporal labor substitution is unimportant for macroeconomics. This paper takes another look at life cycle data and argues(More)