Economics

The economics academic area includes faculty that study a broad range of topics in their discipline, including economic theory, industrial organization, labor economics, macroeconomics, econometrics, environmental economics, and international trade.

The economic faculty bring ideas from economic research (both their own and those from the broader community of economic scholars) to the classroom.

The group teaches principles of economics and statistics in managerial foundations classes, as well as applications of economics in classes on strategy, public policy, human resource management, global management, and other topics.

The rigorous application of economic principles permeates the MBA, Stanford MSx, and Executive Education curricula. The economics area extends its impact beyond Stanford by publishing, by educating PhD students, and by influencing public policy.

Recent Journal Articles in Economics

Sebastian Di Tella
Journal of Political Economy (forthcoming). November
2 , 2017

 This paper investigates the origin and propagation of balance sheet recessions in a general equilibrium model with financial frictions. I first show that in standard models driven by TFP shocks,...

Marco Di Maggio, Benjamin Keys, Tomasz Piskorski, Rodney Ramcharan, Amir Kermani, Amit Seru, Vincent Yao
American Economic Review. November
2017, Vol. 107, Issue 11, Pages 3350-3388

Exploiting variation in the timing of resets of adjustable-rate mortgages (ARMs), we find that a sizable decline in mortgage payments (up to 50 percent) induces a significant increase in car...

Gregory J. Martin, Ali Yurukoglu
American Economic Review. September
2017, Vol. 107, Issue 9, Pages 2565-99

We measure the persuasive effects of slanted news and tastes for like-minded news, exploiting cable channel positions as exogenous shifters of cable news viewership. Channel positions do not correlate with...

Nicholas A. Bloom, Philip Bunn, Paul Mizen, Pawel Smietanka, Greg Thwaites
Bank of England Quarterly Bulletin. September
2017, Vol. 57, Issue 2, Pages 110-120

The article reports that the Bank of England has launched the Decision Maker Panel (DMP) survey of senior executives from British companies which aims to measure the effects of uncertainty...

Eric Bettinger, Lindsay Fox, Susanna Loeb, Eric S. Taylor
American Economic Review. September
2017, Vol. 107, Issue 9, Pages 2855-75

Online college courses are a rapidly expanding feature of higher education, yet little research identifies their effects relative to traditional in-person classes. Using an instrumental variables approach, we find that...

Raffaella Sadun, Nicholas A. Bloom, John Van Reenen
Harvard Business Review. September
2017, Vol. 95, Issue 5, Pages 120-127

Business schools teach MBA students that you can’t compete on the basis of management processes because they’re easily copied. Operational effectiveness is table stakes in the competitive universe, according to...

Bar Ifrach, Gabriel Weintraub
The Review of Economic Studies. July
2017, Vol. 84, Issue 3, Pages 1106-1150

In this paper we introduce a new computationally tractable framework for Ericson and Pakes (1995)- style dynamic oligopoly models that overcomes the computational complexity involved in computing Markov perfect equilibrium...

A. Bumpus, Stephen Comello
Nature Climate Change. June
2017, Vol. 7, Issue 6, Pages 382-385

Early-stage capital providers and clean energy technology incubators are supporting a new wave of innovations focused on end-use efficiency and demand control. This wave complements expanding investments in supply technologies...

Eric Bettinger, Christopher Doss, Susanna Loeb, Aaron Rogers, Eric Taylor
Economics of Education Review. June
2017, Vol. 58, Pages 68-85

Class size is a first-order consideration in the study of education cost and effectiveness. Yet little is known about the effects of class size on student outcomes in online college...

Takuo Sugaya, Alexander Wolitzky
Theoretical Economics. May
2017, Vol. 12, Issue 2, Pages 691-729

We provide a simple sufficient condition for the existence of a recursive upper bound on (the Pareto frontier of) the sequential equilibrium payoff set at a fixed discount factor in...