Macroeconomics and Finance Research Group

The Macroeconomics and Finance Research Group has produced leading research in several fields of macroeconomics and finance.

The group frequently publishes its research findings in the top international academic journals: American Economic Review, Journal of Monetary Economics, Review of Economics and Statistics, NBER Macroeconomics Annual, The Review of Finance, the Journal of European Economic Association, the Economic Journal and the Journal of Economic Literature, among others. 

In addition, the group’s activities include frequent seminars with invited speakers from the top academic and policy institutions and the organisation of elite conferences which bring together academics and decision-makers of the highest level. Past keynote speakers include for example Thomas Lubik (Federal Reserve Bank of Richmond), Roger Farmer (UCLA), Michael Woodford (Columbia University) and Klaus Adam (Mannheim). Research interests in the group cover a wide range of areas in macroeconomics and macroeconometrics with a particular focus on business cycle dynamics, expectations formation and news shocks, inventory and investment dynamics, as well as monetary and fiscal policy.

In 2018, the group hosted the Expectations in Dynamic Macroeconomic Models annual conference. Leading academics and policy makers exchanged ideas for future potential collaboration. There were lively debates during the conference on important policy topics, like price level targeting, housing prices, fiscal austerity and defaults. James Bullard, President and CEO of the Federal Reserve Bank of St Louis, and Michael Woodford, John Bates Clark Professor of Political Economy at Columbia University, spoke on the U.S. economy and monetary policy.

Director of the Macroeconomics and Finance Research Group
Professor Kaushik Mitra
Research Interests: Macroeconomics, monetary economics and adaptive learning.

Research Group Co-Director
Dr Christoph Gortz
Research Interests: Macroeconomics and monetary economics with particular interest in business cycles, news-shocks, expectations and learning, financial intermediation and financial frictions, investment dynamics.

Research Group Co-Director
Dr Pei Kuang
Research Interests: Learning and imperfect information, expectations formation, business cycles, monetary and fiscal policy.

Roger Backhouse
Research Interests: Paul A. Samuelson, History of welfare economics, History of empirical macroeconomics, History of economics (general).

Dr Ceri Davies
Research Interests: Macroeconomics, monetary economics.

Professor David Dickinson
Research Interests: Financial sector reform, financial institutional behaviour.

John Fender
Research Interests: Theoretical Macroeconomics, Monetary Policy, Fiscal Policy

Professor Alessandra Guariglia
Research Interests: Links between macroeconomic activity and finance, firm behaviour under imperfect capital markets, economics of transition in China, household saving and consumption decisions, health economics.

Domenico Moro
Research Interests: Macroeconomics, Health Economics, Political Economics, Labour economics.

Dr Paola Paiardini
Research Interests: Market microstructure, financial economics, experimental economics.

Dr Frank Strobel
Research Interests: Banking, financial intermediation, financial economics.

Oleksandr Talavera
Research Interests: Online prices, social media, online vacancies, central bank communication, house prices.

Dr Yao Yao
Research Interests: Macroeconomics, labour economics.

Selected publications of research group members

(Detailed publications are shown on group members' individual websites)

1) Di Pace, Federico, Kaushik Mitra, and Zhang Shoujian (2021): Adaptive learning and labor market dynamics, Journal of Money, Credit and Banking, vol 53, 441-475.

2) Görtz, Christoph, John D. Tsoukalas, Francesco Zanetti: News Shocks under Financial Frictions, American Economic Journal: Macroeconomics. Forthcoming.

3) Mathieu Mercadier, Frank Strobel. A one-sided Vysochanskii-Petunin inequality with financial applications. European Journal of Operational Research. Forthcoming.  

4) Caglayana, Mustaf, Tho Pham, Oleksandr Talavera, Xiong Xiong (2020): Asset mispricing in peer-to-peer loan secondary markets, Journal of Corporate Finance, vol 65, 1017-69.

5) Honkapohja, Seppo and Kaushik Mitra (2020): Price level targeting with evolving credibility, Journal of Monetary Economics, vol 116, 88-103.

6) Farag, Hisham and David Dickinson (2020): The power of Connections: Evidence from financial companies, Journal of Corporate Finance, vol 64(4), 1016-43.

7) Yang, Junhong, Alessandra Guariglia, and Jie (Michael) Guo (2019): To what extent does corporate liquidity affect M&A decisions, method of payment and performance? Evidence from China, Journal of Corporate Finance, vol 54, 128-152.

8) Gorodnichenko, Yuriy, Viacheslav Sheremirov, and Oleksandr Talavera (2018): Price setting in online markets: Does IT click?, Journal of European Economic Association, vol 16(6), 1764-1811.

9) Tsoukalas, John D., Serafeim Tsoukas, and Alessandra Guariglia (2017): To what extent are savings–cash flow sensitivities informative to test for capital market imperfections?, Review of Finance, vol 21(3),1251-1285.

10) Gorodnichenko, Yuriy, and Oleksandr Talavera (2017): Price setting in online markets: Basic facts, international comparisons, and cross-border integration, American Economic Review, vol 107(1), 249-282.

11) Görtz, Christoph and John D. Tsoukalas (2017): News and financial intermediation in aggregate fluctuations, Review of Economics and Statistics, vol 99(3), 514-530.

12) Kuang, Pei and Kaushik Mitra (2016): Long-run growth uncertainty, Journal of Monetary Economics, vol 79, 67-80.

13) Guariglia, Alessandra and Junhong Yang (2016): A balancing act: Managing financial constraints and agency costs to minimize investment inefficiency in the Chinese market, Journal of Corporate Finance, vol 36, 111-130.

14) Backhouse, Roger and James Forder (2015): Revisiting Samuelson's foundations of economic analysis, Journal of Economic Literature, vol 53(2), 326-350.

15) Adam, Klaus, Pei Kuang, Albert Marcet (2012): House price booms and the current account, NBER Macroeconomics Annual, vol. 26(1), 77 - 122.

16) Evans, George, Seppo Honkapohja, and Kaushik Mitra (2012): Does Ricardian equivalence hold when Expectations are not rational?, Journal of Money, Credit and Banking, vol 44(7), 1259-1283.

17) Ellis, Christopher J. and John Fender (2011): Information cascades and revolutionary regime transitions, Economic Journal, vol 121(553), 763-792.

18) Guariglia, Alessandra, Xiaoxuan Liu, and Lina Song (2011): Internal finance and growth: Microeconometric evidence on Chinese firms, Journal of Development Economics, vol 96(1), 79-94.