The Formation of Prosociality: Causal Evidence on the Role of Social Environment (Pia Pinger with Thomas Deckers, Armin Falk, Fabian Kosse, and Hannah Schildberg-Hörisch), Journal of Political Economy, forthcoming

Paternal Grandfather’s Access to Food Predicts All-cause and Cancer Mortality in Grandsons (Pia Pinger with Vanda Aronsson, Gerard van den Berg, and Denny Vågerö), Nature Communications, 2018, 9: 5124

Locus of Control and Consistent Investment Choices, P. Pinger with H. Schumacher and S. Schäfer, Journal of Behavioral and Experimental Economics, 2018, 75: 66–75

Uncertainty and the Great Recession, B. Born with Sebastian Breuer and Steffen Elstner, Oxford Bulletin of Economics and Statistics, 80, 5 (2018)

Time-Varying Business Volatility and the Price Setting of Firms, B. Born with Rüdiger Bachmann, Steffen Elstner and Christian Grimme, Journal of Monetary Economics, forthcoming

Household Debt and Crisis of Confidence, T. Hintermaier with W. Koeniger, Quantitative Economics, Volume 9, Issue 3, November 2018, Pages 1489-1542

A new IV Approach for Estimating the Efficacy of Macroprudential Measures, I. Schnabel with Niklas Gadatsch and Lukas Mann, Economics Letters, 2018, 168, 107-109



Earnings losses and labor mobility over the life cycle, M. Kuhn with Philip Jung, available as CESifo Working Paper No. 6552, IZA Discussion Paper No. 6835 or as CEPR Discussion Paper 11572 Forthcoming at the Journal of the European Economic Association

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

Life in Shackles? The Quantitative Implications of Reforming the Educational Loan System, F. Kindermann with Ben Heijdra and Laurie Reijnders, Review of Economic Dynamics, 25, 37-57, 2017

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

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

No Price Like Home, M. Schularick with Katharina Knoll and Thomas Steger, American Economic Review

Towards Understanding Differences in European Household Finances T. Hitermaier with W. Koeniger, University of St. Gallen Working paper version: ADEMU Working Paper, No. 2016/017



“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


Assessing Macroeconomic Tail Risk, Donghai Zhang, Francesca Loria, Christian Matthes (April 2019), FEDS Working Paper

An Empirical Assessment of the Fed’s Targeting Rule and Loss Function, Donghai Zhang, Shengliang Ou (May 2019)

Wealth and Income Inequality in America, 1949-2016, Moritz Kuhn, Moritz Schularick, Ulrike I. Steins (April 2019),  CESIfo Working Paper No. 6608/CEPR Discussion Paper No. 12218

Term Structure, Forecast Revision and the Signaling Channel of Monetary Policy, Donghai Zhang (March 2019), SSRN Working Paper


Precautionary Savings, Illiquid Assets, and the Aggregate Consequences of Shocks to Household Income Risk, Christian Bayer, Ralph Luetticke, Lien Pham-Dao and Volker Tjaden (2018), Econometrica, accepted for publication

What hides behind the German labor market miracle? Unemployment insurance reforms and labor market dynamics, Benjamin Hartung, Philip Jung, Moritz Kuhn (2018), CEPR Discussion Paper No. DP13328

Inheritance Taxation and Wealth Effects on the Labor Supply of Heirs, F. Kindermann with Lukas Mayr and Dominik Sachs

The Random Walk Beats Professional Forecast: Facts, Puzzles and Explanations​, Donghai Zhang (May 2018)

Which Inflation Index to Stabilize? The Role of Market Power, Donghai Zhang (May 2018)

Differences in Euro-Area Household Finances and their Relevance for Monetary-Policy Transmission, T. Hintermaier with Winfried Koeniger

The Costs of Economic Nationalism: Evidence from the Brexit Experiment, Benjamin Born, Gernot J. Müller, Moritz Schularick, Petr Sedlacek. Submitted.

Misallocation, Markups and Technology, C. Bayer with Ariel Mecikovsky and Matthias Meier, CEPR DP No. 12727

The Term Structure of Redenomination Risk, C. Bayer with Chi Kim and Alexander Kriwoluzky, May 2018, CEPR DP No. 12965

The Formation of Prosociality: Causal Evidence on the Role of the Social Environment, P. Pinger with T. Deckers, A. Falk, F. Kosse and H. Schildberg-Hörisch, HCEO Discussion Paper No. 2018-025



Bank Capital Redux, M. Schularick with Òscar Jordà, Björn Richter and Alan Taylor, NBER Working Paper

Income and Wealth Inequality in America, 1949-2013, M. Schularick with Moritz Kuhn and Ulrike Steins CEPR Working Paper

The Great American Debt Boom, 1948-2013, M. Kuhn with Moritz Schularick and Ulrike I. Steins

Uncertainty-driven Business Cycles: Assessing the Markup Channel, Benjamin Born, Johannes Pfeifer, Submitted.

Asymmetric Impulse Responses, Benjamin Born and Jörg Breitung

Worker Churn and Employment Growth at the Establishment Level, C. Bayer with Rüdiger Bachmann, Christian Merkl, Stefan Seth, Heiko Stüber, and Felix Wellschmied, CEPR DP No. 12343.

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.



Unequal Lives: Heterogneity in Unemployment, Health, and Wage Risk, M. Kuhn with Christian Bayer

Which Ladder to Climb? Evidence on wages of workers, jobs, and plants, M. Kuhn with Christian Bayer

Bargaining over Babies: Theory, Evidence, and Policy Implications, F. Kindermann with Matthias Doepke, NBER Working Paper No. 22072, 2016, revision requested: American Economic Review

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.