Faculty research provides new perspectives on industry challenges, energizes curriculum development, prompts compelling case study creation, and influences policy decisions and solutions.

Our research focuses on understanding the determinants of commercial property capital expenditure decisions, on constructing price indices for illiquid assets (commercial and residential real estate), and modeling spatial and temporal variations in house prices.

Our faculty frequently partner with distinguished industry professionals who bring relevant, real-time experience to the classroom setting. Lecturers include experts in the areas of architecture, development, engineering, and law.

Working Papers:

  • “Stochastic Volatility and Asset Pricing Puzzles”, revision requested at Journal of Finance (Tim McQuade)
  • “Who Creates New Firms when Local Opportunities Arise?” (Tim McQuade, Emanuele Colonnelli, and Davide Malacrino), revision requested at Journal of Financial Economics (Tim McQuade)
  • “The Contribution of Immigrants to Innovation in the United States” (Tim McQuade with Shai Bernstein, Rebecca Diamond, and Beatriz Pousada), Charles River Associates Award for the Best Paper on Corporate Finance, WFA 2019
  • “Who Benefits from Rent Control? The Equilibrium Consequences of San Francisco’s Rent Control Expansion” (Tim McQuade with Rebecca Diamond and Franklin Qian)
  • “Consumption Responses to the Affordable Care Act: Evidence from Bank and Credit Card Data” (Tim McQuade with Rebecca Diamond, Michael Dickstein, and Petra Persson)

CUREC Research

Regulating an Experience Good Produced in the Formal Sector of a Developing Country when Consumers Cannot Identify Producers
Regulating an Experience Good Produced in the Formal Sector of a Developing Country when Consumers Cannot Identify Producers

Dec. 14, 2020

Stephen W. Salant, Timothy James McQuade and Jason Winfree Review of Development Economics, 16(4): 512-526, 2012. Tilman Börgers and Timothy James McQuade The B.E. Journal of Theoretical Economics, 7(1): 2007. In developing countries, consumers can buy many goods either in formal markets or in informal markets and decide where to...

Markets with Untraceable Goods of Unknown Quality: Beyond the Small-Country Case
Markets with Untraceable Goods of Unknown Quality: Beyond the Small-Country Case

Dec. 14, 2020

Stephen W. Salant, Timothy James McQuade and Jason Winfree Journal of International Economics 100: 112-119, 2016. Abstract When importing durables and nondurables, consumers often cannot discern quality prior to purchase. If they cannot also identify the individual producer, exporters have diminished incentives to produce high quality goods. To raise the...

American Economic Review
Who Pays for Rent Control? Heterogeneous Landlord Response to San Francisco’s Rent Control Expansion

Dec. 14, 2020

American Economic Review P&P, 109: 377–380, 2019. Rebecca Diamond Tim McQuade Franklin Qian AEA PAPERS AND PROCEEDINGS VOL. 109, MAY 2019 (pp. 377-80) Using a 1994 law change, we exploit quasi-experimental variation in the assignment of rent control in San Francisco to study which types of landlords bear the burden...

Real Estate Economics
Idiosyncratic risk of House Prices: Evidence from 26 Million Home Sales

Dec. 14, 2020

Authors: Liang Peng and Thomas G. Thibodeau This paper uses about 26 million home sales to measure house price idiosyncratic risk for 7,580 U.S. zip codes during three periods: (1) when the U.S. housing market was stable (1996 to 2000), (2) booming (2001 to 2007), and (3) busting (2007 to...

Journal of Finance
Mortgage Design in an Equilibrium Model of the Housing Market

Dec. 14, 2020

How can mortgages be redesigned to reduce housing market volatility, consumption volatility, and default? How does mortgage design interact with monetary policy? We answer these questions using a quantitative equilibrium life cycle model with aggregate shocks, long-term mortgages, and an equilibrium housing market, focusing on designs that index payments to monetary policy.

Who Wants Affordable Housing in Their Backyard? An Equilibrium Analysis of Low- Income Property Development
Who Wants Affordable Housing in Their Backyard? An Equilibrium Analysis of Low- Income Property Development

Dec. 1, 2020

Journal of Political Economy, 127:3: 1063-1117, 2019. Rebecca Diamond & Timothy McQuade We nonparametrically estimate spillovers of properties financed by the Low Income Housing Tax Credit (LIHTC) onto neighborhood residents by developing a new difference-in-differences style estimator. LIHTC development revitalizes low-income neighborhoods, increasing house prices 6.5%, lowering crime rates, and...

American Economic Review
The Effects of Rent Control Expansion on Tenants, Landlords, and Inequality: Evidence from San Francisco

Nov. 14, 2020

American Economic Review, 109:9: 3365-3394, 2019. By Rebecca Diamond, Tim McQuade, and Franklin Qian* Using a 1994 law change, we exploit quasi-experimental variation in the assignment of rent control in San Francisco to study its impacts on tenants and landlords. Leveraging new data tracking individuals’ migration, we find rent control...

How Do Foreclosures Exacerbate Housing Downturns
How Do Foreclosures Exacerbate Housing Downturns

Oct. 21, 2020

Adam M Guren, Timothy J McQuade The Review of Economic Studies, Volume 87, Issue 3, May 2020, Pages 1331–1364, https://doi.org/10.1093/restud/rdaa001 Published: 11 January 2020 This paper uses a structural model to show that foreclosures played a crucial role in exacerbating the recent housing bust and to analyze foreclosure mitigation policy...

Do Household Wealth Shocks Affect Productivity: Evidence from Innovative Workers During the Great Recession
Do Household Wealth Shocks Affect Productivity: Evidence from Innovative Workers During the Great Recession

July 19, 2020

SHAI BERNSTEIN, TIMOTHY MCQUADE , and RICHARD R. TOWNSEND Journal of Finance We investigate how the deterioration of household balance sheets affects worker productivity, and whether such effects mitigate or amplify economic downturns. To do so, we compare the output of innovative workers who experienced differential declines in housing wealth...

The effect of health insurance on home payment delinquency: Evidence from ACA Marketplace subsidies
The effect of health insurance on home payment delinquency: Evidence from ACA Marketplace subsidies

Dec. 15, 2018

Emily A.Gallagher, Radhakrishnan Gopalan and Michal Grinstein-Weiss Journal of Public Economics Volume 172, April 2019, Pages 67-83 Abstract We use administrative tax data and survey responses to quantify the effect of subsidized health insurance on rent and mortgage delinquency. We employ a regression discontinuity (RD) design, exploiting the income threshold...

Pages