Papers by Jess Benhabib

Jess Benhabib

Paulette Goddard Professor of Political Economy · New York University

Paulette Goddard Professor of Political Economy at New York University, as of his January 2021 CV. His work covers growth, business cycles, indeterminacy and self-fulfilling fluctuations; he was elected Fellow of the Econometric Society in 1992.

Showing 4 papers

Published American Economic Review Published Jul 2026

Self-Fulfilling Fluctuations in HANK Economies

Sushant Acharya · Jess Benhabib

Research question and motivation: A central tenet of monetary policy is that aggressively raising nominal rates more than one-for-one with inflation (the Taylor principle) nips self-fulfilling …

Monetary Policy Macro Dynamics Expectations Fiscal Policy

Published Journal of Monetary Economics Online 1 Dec 2025 Published Dec 2025

Aggregate demand externality and self-fulfilling default cycles

Jess Benhabib · Feng Dong · Pengfei Wang · Zhenyang Xu

Why do corporate defaults cluster in recurring episodes rather than occurring smoothly? The paper asks whether observable fundamental factors — firm characteristics and macroeconomic variables — are …

Macroeconomics Banking Credit Asset Pricing Free Read ↗

Published Classic Journal of Political Economy Published Jun 2002

Avoiding Liquidity Traps

Jess Benhabib · Stephanie Schmitt-Grohé · Martín Uribe

Because a Taylor-type interest-rate rule must be consistent with the zero nominal-interest-rate bound, it always admits a second, unintended steady state with low or negative inflation alongside the …

Effective Lower Bound Monetary Policy Rules Fiscal Monetary Interactions Free Read ↗

Published Classic Journal of Economic Theory Published Jan 2001

The Perils of Taylor Rules

Jess Benhabib · Stephanie Schmitt-Grohé · Martín Uribe

Benhabib, Schmitt-Grohe, and Uribe show that active interest-rate feedback ("Taylor") rules -- which raise the nominal rate more than one-for-one with inflation and are conventionally recommended as …

Monetary Policy Rules Effective Lower Bound Equilibrium Determinacy Free Read ↗

Career

1991 – present Paulette Goddard Professor of Political Economy, New York University
1983 – present Professor of Economics, New York University
2009 – 2011 Interim Dean of Arts and Science, New York University
2008 – 2009 Ile-de-France Chair, Paris School of Economics
2005 – 2008 Senior Vice Provost, New York University
1980 – 1983 Associate Professor, New York University
1977 – 1980 Assistant Professor, University of Southern California

Editorial roles

Editor (with Karl Shell) Journal of Economic Theory2000–2005
Associate Editor Journal of Economic Theory1992–2010
Associate Editor Economic Theory1991–2005
Associate Editor Journal of Economic Dynamics and Control1994–2000
Associate Editor Journal of Economic Growth1994–present
Associate Editor Japanese Economic Review1995–present