Guido Lorenzoni’s research focuses on the role of expectations in economic fluctuations and on the interaction between financial markets and aggregate economic activity. In particular, he has worked on models where changing expectations about long-run growth can determine short-run business cycles (“A Theory of Demand Shocks,” American Economic Review, 2009). He has also worked on the role of regulation in preventing the accumulation of excessive leverage, in order to reduce the economy’s exposure to financial crises (“Inefficient Credit Booms,” Review of Economic Studies, 2008).
Lorenzoni is a professor of economics at Northwestern University. He is a member of the Economic Fluctuations and Growth group and of the Monetary Economics group at the National Bureau of Economic Research. He has held academic positions at both Princeton University and the Massechusetts Institute of Technology and has been a consultant at the Federal Reserve Bank of Chicago. He received the Alfred P. Sloan Research Fellowship in 2009.
Lorenzoni earned his bachelor degree from Sapienza – Università di Roma and his PhD from MIT in 2001.
His visit was supported by a generous gift from Donald R. Wilson Jr., AB’88 that advances fiscal studies.