I am a third-year PhD student in economics at the University of Cambridge, where my supervisor is Professor Florin Bilbiie.

My researches focusses on the transmission of monetary and fiscal policy in economies with heterogeneous households. Download a copy of my CV here.

Working papers

Heterogeneous Monetary Policy Pass-Through to Consumer Credit Along the Income Distribution

with Leonardo Soriano de Alencar and Antonia Tsang

Using loan-level data from the Brazilian credit registry, this paper investigates whether the pass-through of monetary policy to consumer credit is heterogeneous along the income distribution. We find three novel results on how monetary policy affects different consumers’ credit costs. Firstly, the pass-through of monetary policy to consumer interest rates is stronger for lower-income borrowers than for higher earners. Secondly, we decompose the results into a direct heterogeneity effect and portfolio composition channels. We show that the direct heterogeneity channel is operational, implying that pass-through of monetary policy would still be higher to lower-income individuals even if all borrowers had identical loan portfolios. Thirdly, we show that this pass-through heterogeneity is asymmetric between periods of monetary loosening and tightening. During the post-Covid tightening cycle, the pass-through of monetary policy hikes to consumers’ borrowing costs was stronger for individuals with lower incomes. Conversely, during the previous loosening cycle, the pass-through of cuts to lower earners was weaker than for higher earners. These results could therefore shed light on a new channel whereby monetary policy exacerbates inequality through consumers’ borrowing costs.

Draft available soon!

Long-Term Government Debt and Monetary Policy Transmission in HANK Models

This paper considers the effect of long-term government debt on the transmission of monetary policy in heterogeneous-agent New Keynesian (HANK) models. The interactions between the maturity composition of government debt and the design of fiscal policy are important determinants of the aggregate and distributional effects of monetary policy. When the maturity of government debt is longer, the fiscal effects of monetary policy can serve to dampen the fall in consumption following a monetary policy contraction. This dampening is most significant when the fiscal rule is more responsive to the level of government debt, and when the tax system is less progressive.

Download a preliminary draft here.