Families and Social Security, F. Kindermann with H. Fehr and M. Kallweit , European Economic Review, vol. 91, 30-56.

Fixed on Flexible – Rethinking Exchange Rate Regimes after the Great Recession, K. Kuester with G. Corsetti and G. Mueller, IMF Economic Review, forthcoming

The Fiscal Mix in the Euro-area Crisis — Dimensions and a Model-Based Assessment of Effects, with Giovanni Callegari and Francesco Drudi. Economic Policy, vol 32 (89), pp. 127-169.


“Financial Sector Reform After the Crisis: Has Anything Happened?”, I. Schnabel with A. Schäfer and B. Weder di Mauro, Review of Finance, 2016, 20(1), 77-125.

Large Open Economies and Fixed Costs of Capital Adjustment, C. Bayer with V. Tjaden, Review of Economic Dynamics, vol. 21, pp. 125-146.

Debt portfolios and homestead exemptions”, T. Hintermaier with W. Koeniger,
American Economic Journal: Macroeconomics, vol. 8, pp. 103-141.

2013 Update on the U.S. Earnings, Income and Wealth Distributional Feats: A View from Macroeconomic Modelers, M. Kuhn with J. Ríos-Rull , Federal Reserve Bank of Minneapolis Quarterly Review

Sovereigns versus Banks: Credit, Crises and Consequences, M. Schularick with Ò. Jordá and A. Taylor, Journal of the European Economic Association, vol. 14 (1), 45–79.

The Great Mortgaging: Housing Finance, Crises, and Business Cycles, M. Schularick with Ò. Jordà and A. Taylor, Economic Policy, vol. 31 (85), 107–152.

Transgenerational Effects of Childhood Conditions on Third Generation Health and Education Outcomes, P. Pinger with G. van den Berg, Economics and Human Biology, 23: 103-120.

Instrumental Variable Estimation of the Causal Effect of Hunger Early in Life on Health Later in Life, P. Pinger with G. van den Berg and J. Schoch, The Economic Journal, 126 (3): 465–506.


Happiness and the Persistence of Income Shocks, C. Bayer with F. Juessen, American Economic Journal: Macroeconomics, vol. 7(4), 160-187.

The New Actors of Macroprudential Supervision in Germany and Europe – A Critical Evaluation, I. Schnabel with Elke Gurlit, Journal of Banking Law and Banking, vol. 6, 349-362.

Taxing Capital Along the Transition – Not A Bad Idea After All?, F. Kindermann with H. Fehr, Journal of Economic Dynamics and Control, vol. 51, 64-77.

Household Formation, Female Labor Supply and Savings, F. Kindermann with H. Fehr and M. Kallweit, Scandinavian Journal of Economics, vol. 118, 868–911.

Earnings-Related Pension Schemes and Human Capital Formation, F. Kindermann, Journal of Pension Economics and Finance, vol. 14(1), 19-54.

Optimal Labor-Market Policy in Recessions, K. Kuester with P. Jung, American Economic Journal: Macroeconomics, vol. 7(2), 124-56

Fiscal Volatility Shocks and Economic Activity, K. Kuester with J. Fernández-Villaverde, P. A. Guerón-Quintana, J. Rubio-Ramírez, American Economic Review, vol. 105(11), 3352-84.

Should Unemployment Insurance be Asset-Tested?, M. Kuhn with S. Koehne, Review of Economic Dynamics, vol. 18(3).

Optimal Taxation in a Habit Formation Economy, M. Kuhn with S. Koehne, Journal of Public Economics, vol. 122, 31-39.

Human Capital Risk, Contract Enforcement and the Macroeconomy, M. Kuhn, with T. Krebs and M. Wright, American Economic Review, Vol. 105(11), 3223-72.

Betting the House, M. Schularick with Ò. Jordà and A. Taylor, Journal of International Economics, vol 104(4), 1392-1416.

Leveraged Bubbles, M. Schularick with Ò. Jordà and A. Taylor, Journal of Monetary Economics, vol. 76(S), 1-20.


Investment Dispersion and the Business Cycle, C. Bayer with R. Bachmann, American Economic Review, vol. 104(4), 1392-1416.

Sovereign Risk and Belief-driven Fluctuations in the Euro Area, K. Kuester with G. Corsetti, A. Meier, and G. Mueller, Journal of Monetary Economics, vol 61(S), 53-73.

Bank Bonuses and Bail-outs, I. Schnabel with H. Hakenes, Journal of Money, Credit, and Banking, vol 46(1), 259-288.

Policy Risk and the Business Cycle, B. Born with J. Pfeifer, Journal of Monetary Economics, vol 68, pp. 68-85.

Working Papers


European Unemployment Insurance, K. Kuester with M. Ignaszak and P. Jung.

High Marginal Tax Rates on the Top 1%? Lessons from a Life Cycle Model with Idiosyncratic Income Risk, F. Kindermann with D. Krueger, Working Paper, University of Pennsylvania.

Socio-Economic Status and Inequalities in Children’s IQ and Economic Preferences, P. Pinger with T. Deckers, A. Falk, F. Kosse and H. Schildberg-Hörisch, R&R JPE

Understanding the Mechanisms behind Intergenerational Effects of Economic Distress, P. Pinger

Intergenerational Transmission of Inequality, Maternal Endowments, Investments, and Birth Outcomes, P. Pinger with G. Conti, J. Heckman and A. Zanolini

Does Austerity Pay Off? B. Born with G. Müller and J.Pfeifer, Working Paper, March

Time-varying Business Volatility and the Price Setting of Firms, B. Born with R. Bachmann, S. Elstner, and C. Grimme, Working Paper, October

Uncertainty Shocks in Currency Unions, B. Born with G. Müller and J. Pfeifer, Working Paper, July.

Asset Price Bubbles and Systemic Risk, I. Schnabel with M. Brunnermeier and S. Rother.

What Drives the Sovereign-Bank Nexus?, I. Schnabel with U. Schüwer.

Banks’ Trading after the Lehman Crisis – The Role of Unconventional Monetary Policy, I. Schnaebl with N. Podlich and J. Tischer, Deutsche Bundesbank Discussion Paper No. 19/2017.


Doves for the Rich, Hawks for the Poor? Distributional Consequences of Monetary Policy, K. Kuester with N. Gornemann and M. Nakajima. Revise and resubmit at Econometrica. Latest version

Bargaining over Babies: Theory, Evidence, and Policy Implications, F. Kindermann with M. Doepke, NBER Working Paper No. 22072, 2016.

Towards Understanding Differences in European Household Finances, T. Hintermaier with W. Koeniger, ADEMU Working Paper, No. 2016/017.



Household Debt and Crises of Confidence, T. Hintermaier with W. Koeniger,
Bonn Econ Discussion Paper, No. 06/2015;

Bubbles and Central Banks: Historical Perspectives, I. Schnabel with M. Brunnermeier, CEPR Discussion Paper No. 10528.

Financial Fragmentation and Economic Growth in Europe, I. Schnabel with C. Seckinger, CEPR Discussion Paper No. 10805.

Research Areas

The RTG studies the implications of rising inequality for the macroeconomy and macroeconomic policy. Within this confine, the RTG studies topics that require a varied skill set. The topics fall into one of four research areas:

Research Area A, Dimensions of inequality studies the facts on inequality, relying on the group members’ experience with a wide range of micro data.

Research Area B, Inequality and the business cycle studies to what extend inequality affects business cycle dynamics, making use of the groups’ expertise in heterogeneous agent modeling.

Research Area C, Inequality and financial fragility studies the empirical link between inequality, household balance sheets and financial crises.

Research Area D, Inequality and macroeconomic policies studies the policy implications. Building on the strengths of the group, the focus will be on monetary policy, labor-market policy, and fiscal policy.