Macro Finance

In the department Macro Finance, research focuses on the interaction between the overall economy and the financial system. Shocks in the real economy (e.g., energy costs) affect the market prices of goods and services which then has an impact on the financial system, e.g., through firms' demand for investment or households' saving behavior. This in turn has consequences for the real economy. Thus, there are interactions and a possible amplification of the original shocks. In extreme cases, financial crises occur, leading to large economic costs. The same applies to shocks in the financial economy, e.g., due to changes in monetary policy: Changes in nominal interest rates lead to new (real) decisions in investment and consumption. These interactions are steered by regulatory policies, such as pension policy, energy transition or public debt policy. Particular attention is paid to the influence of the financial architecture and its actors (banks, stock exchanges, central banks, sovereigns) on economic activity and distribution. A precise understanding of these interrelationships requires both a macroeconomic and a microeconomic perspective, the empirical investigation of existing phenomena as well as theoretical analysis with simulations and forecasts. The department management is currently in occupation, so that a precise formulation of the main topics in this comprehensive subject can only be made later.


Publications

Author/s Title Area Type Published
Markus Dertwinkel-Kalt, Johannes Kasinger, Dmitrij Schneider Skewness Preferences: Evidence from Online Poker
Games and Economic Behavior
Financial Intermediation, Macro Finance Published Paper 2024
Alexander Ludwig, Jochen Mankart, Jorge Alejandro Quintana, Mirko Wiederholt Heterogeneity in Expectations and House Price Dynamics
SAFE Working Paper No. 432
Macro Finance SAFE Working Paper 2024
Leo Kaas, Georgi Kocharkov, Nicolas Syrichas Understanding Spatial House Price Dynamics in a Housing Boom
SAFE Working Paper No. 425
Macro Finance SAFE Working Paper 2024
Spencer Yongwook Kwon, Yueran Ma, Niklas Kaspar Zimmermann 100 Years of Rising Corporate Concentration
American Economic Review
Macro Finance Published Paper 2024
Claes Bäckman, Patrick Moran, Peter van Santen Mortgage Design, Repayment Schedules, and Household Borrowing
SAFE Working Paper No. 421
Household Finance, Macro Finance SAFE Working Paper 2024
Claes Bäckman, Natalia Khorunzhina Interest-Only Mortgages and Consumption Growth: Evidence from a Mortgage Market Reform
International Economic Review
Macro Finance Published Paper 2024
Aljoscha Janssen, Johannes Kasinger Obfuscation and Rational Inattention
The Journal of Industrial Economics
Financial Intermediation, Macro Finance Published Paper 2024
Olga Balakina, Claes Bäckman, Anastasiia Parakhoniak Beyond Connectivity: Stock Market Participation in a Network
SAFE Working Paper No. 416
Household Finance, Macro Finance SAFE Working Paper 2024
Loriana Pelizzon, Max Riedel, Zorka Simon, Marti Subrahmanyam Collateral Eligibility of Corporate Debt in the Eurosystem
Journal of Financial Economics
Financial Markets, Macro Finance Published Paper 2024
Errikos Melissinos Real Term Premia in Consumption-Based Models
SAFE Working Paper No. 413
Macro Finance, Data Center SAFE Working Paper 2024

Current Research Team

Researcher Position
Kaas, Leo SAFE Fellow
Ludwig, Alexander SAFE Fellow
Nölke, Andreas SAFE Fellow
Weichenrieder, Alfons J. SAFE Fellow
Wiederholt, Mirko SAFE Fellow