Gabriel Mihalache
International Economics

Gabriel Mihalache

Contact:
gabriel.mihalache@stonybrook.edu

S633, Social & Behavioral Sciences, Stony Brook, NY 11794

Curriculum Vitae (PDF)

Google Scholar, GitHub

My name is Gabriel, I study topics in International Macroeconomics. My work centers around the consequences of sovereign default risk for the maturity structure of public debt, sectoral reallocation, capital accumulation, and fiscal-monetary interactions. I am an Assistant Professor of Economics at Stony Brook University since 2018. I received my PhD in 2016 from the University of Rochester. I am Romanian, this is how you pronounce my last name.

News: Cristina, Yan, and I completed an extensive update of "Deadly Debt Crises: COVID-19 in Emerging Markets." We study how mitigations efforts interact with tight fiscal space. The model replicates key features of Latin American data from 2020. About one third of deaths are attributable to default risk. Voluntary restructuring or official lending are immensely helpful, as debt overhang weighs heavility on investment in life-saving mitigation measures.

Publications

  • "Sovereign Default Resolution Through Maturity Extension,"
    PDF DOI Code

    Journal of International Economics, Volume 125C, 2020, ISSN 0022-1996
  • "Default Risk, Sectoral Reallocation, and Persistent Recessions,"
    PDF DOI

    with Cristina Arellano and Yan Bai
    Journal of International Economics, Volume 112, 2018, ISSN 0022-1996
  • "The Payment Schedule of Sovereign Debt,"
    PDF DOI

    with Yan Bai and Seon Tae Kim
    Economics Letters, Volume 161, 2017, ISSN 0165-1765

Working Papers and In-Progress

  • "Deadly Debt Crises: COVID-19 in Emerging Markets," Apr 2021
    PDF VMACS

    with Cristina Arellano and Yan Bai, submitted
    Media and General Audience: GlobalCapital, FRB Minneapolis, Stony Brook Magazine, U of Rochester
  • "Non Linear Dividend Taxation and Shareholder Disagreement," Feb 2021
    PDF

    with Alexis Anagnostopoulos and Eva Cárceles-Poveda, initial draft
  • "Bargaining over Taxes and Entitlements," Dec 2020
    PDF

    with Marina Azzimonti and Laura Karpuska, submitted
  • "Monetary Policy and Sovereign Risk in Emerging Economies (NK-Default)," Jan 2020
    PDF

    with Cristina Arellano and Yan Bai, revising
    Media and General Audience: FRB Minneapolis
  • "The Maturity and Payment Schedule of Sovereign Debt," Jun 2016
    PDF

    with Yan Bai and Seon Tae Kim
  • "Sustainable Debt with Long Run Risk," Feb 2021, in progress

    I propose a parsimonious framework for the quantitative evaluation of sustainable debt in emerging markets, by embedding rich fiscal rules and a pricing kernel consistent with key stylized facts, as in Bansal and Yaron (JF, 2004), in the slow-moving debt crisis model of Lorenzoni and Werning (AER, 2019). The model can replicate the importance of a common global factor in spreads, the role of time-varying volatility, and the slow response of primary deficits to debt overhang. The framework supports the design of robust fiscal rules.

Effect of Political Turnover on Bargaining Reform

Resources

Teaching

All materials, including syllabi and recordings, are distributed via Blackboard. Class-specific office hours are listed in the syllabus. For other appointments, please email. Students, please use gabriel.mihalache@stonybrook.edu and include the class name in the subject. Thank you!

Fall 2021

  • On Leave

Previously

  • ECO 305 Intermediate Macroeconomic Theory
  • ECO 325 International Economics
  • ECO 356 Special Topics: International Finance
  • ECO 531 Introduction to Computational Methods in Economics (MA)
  • ECO 610 Advanced Macroeconomic Theory (PhD)
  • ECO 613 Computational Macroeconomics (PhD)

Are you considering asking me to write a reference letter in support fo your grad school applications? Please read carefully the information available here, to help me help you. Thank you!

Door Bling

It is traditional for academics to decorate their office doors with snippets from articles, media, social commentary, quotes, or cartoons. These are the current posting of my door, as of March 2021:

Sovereign Yield Spreads