Publications

1. Asset Market Sentiments and Business Cycle Fluctuations, with Sichuang Xu and Xuewen Liu, Nov 2024, International Economic Review

2. Delayed crisis and slow recovery, with Xuewen Liu, and Zhongchao Yang, Feb 2024, Journal of Financial Economics

3. A Theory of Housing Demand Shocks, with Ding Dong, Zheng Liu, and Tao Zha, July 2022, Journal of Economic Theory

4. Asset Bubble and Foreign Interest Rate Shocks, with Jianjun Miao and Jing Zhou, April 2022, Review of Economic Dynamics

5. Interest rate liberalization and capital misallocations, with Zheng Liu and Zhiwei Xu, April 2021, American Economic Journal: Macroeconomics

6. A Search-Based Neoclassical Model of Capital Reallocation, with Feng Dong, and Yi Wen, Sept 2020, European Economic Review

7. Asset Bubbles and Monetary Policy, with Feng Dong, and Jianjun Miao, August 2020, Review of Economic Dynamics

8. Discount shock, price–rent dynamics, and the business cycle, with Jianjun Miao and Tao Zha, August 2020,  International Economic Review

9. Financial Market, the Real Economy, and Self-fulfilling Uncertainties, with Jess Benhabib, and Xuewen Liu, June 2019, Journal of Finance

10. Monetary Policy and Rational Asset Bubbles: Comments, with Jianjun Miao, and Zhouxiang Shen, May 2019, American Economic Review

11. Convergence, Financial Development, and Policy Analysis, with Justin Yifu Lin and Jianjun Miao, April 2020, Economic Theory

12. Saving China’s Stock Market, with Jianjun Miao, and Yi Huang, June 2019, IMF Economic Review

13. The Peril of Credit Boom, with Jianjun Miao and Feng Dong, December 2018, Economic Theory

14. Market Thickness and the Impact of Unemployment on Housing Market Outcomes, with Li Gan, and Qinghua Zhang, Journal of Monetary Economics, October 2018, pp. 27-49.

15. Asset Bubbles and Credit Constraints, with Jianjun Miao, American Economic Review, September, 2018, 108(3), pp. 2509-2628.

16. Trade, Sectorial Reallocation, and Growth, with Danyang Xie, Annals of Economics and Finance, May, 2018, 19(1), pp. 49-74.

17. Adverse Selection and Self-fulfilling Business Cycles, with Jess Benhabib and Dong Feng, Journal of Monetary Economics, April 2018, pp. 114-130.

18. Financial development and long-run volatility trends, with Zhiwei Xu and Yi Wen, Review of Economic Dynamics, April 2018, 28, pp.221-251.

19. Two-Way Capital Flows and Global Imbalances, with Zhiwei Xu and Yi Wen, Economic Journal, February 2017, 127(599), pp.229-269.

20. Uncertainty and Sentiment-Driven Equilibria, with Jess Benhabib and Yi Wen, Studies in Economic Theory series, Springer Verlag, 2017.

21. Endogenous Information Acquisition and Countercyclical Uncertainties, with Jess Benhabib and Xuewen Liu, Journal of Economic Theory, September 2016, 165, pp. 601–642.

22. Sentiments, Financial Market, and Macroeconomic Fluctuations, with Jess Benhabib and Xuewen Liu, Journal of Financial Economics, May 2016,120(2), pp.420–443.

23. Chaotic Banking Crises and Banking Regulations, with Jess Benhabib and Jianjun Miao, Economic Theory, January 2016, 61(2), pp. 393-422.

24. Stock Market Bubbles and Unemployment, with Jianjun Miao and Lifang Xu, Economic Theory, February 2016, 61(2), pp. 273–307.

25. Credit Search and Credit Cycles, with Dong Feng and Yi Wen, Economic Theory, February 2016, 61(2), pp.215–239, Lead Article.

26. Asset Bubbles, Collateral, and Policy Analysis, with Jianjun Miao and Zhou Jing, Journal of Monetary Economics, 2015, 76, pp.57-70.

27. A Bayesian DSGE Model of Stock Market Bubbles and Business Cycles, with Jianjun Miao and Zhiwei Xu, Quantitative Economics, 2015, 6 (3), pp.599–635.

28. Banking Bubbles and Financial Crisis, with Jianjun Miao, Journal of Economic Theory, 2015, 157, pp.763–792.

29. Private Information and Sunspots in Sequential Asset Markets, with Jess Benhabib, Journal of Economic Theory, 2015, 158, pp.558-584.

30. Sentiments and Aggregate Demand Fluctuations, with Jess Benhabib and Yi Wen, Econometrica, March 2015, 83(2), pp. 549-585.

31. What inventories tell us about aggregate fluctuations --An Analytical Approach to (S,s) Policies, with Zhiwei Xu and Yi Wen, Journal of Economic Dynamics and Control, 2014, 44, pp. 196-217.

32. A Q-Theory Model with Lumpy Investment, with Jianjun Miao, Economic Theory, 2014, 57(1), pp. 133-159.

33. Sectoral Bubbles, Misallocation, and Endogenous Growth, with Jianjun Miao, Journal of Mathematical Economics, 2014, pp. 153-163.

34. Lumpy Investment and Corporate Tax Policy, with Jianjun Miao, Journal of Money, Credit, and Banking, 2014, 46(6), pp. 1171-1203.

35. Credit Constraints and Self-fulfilling Business Cycles, with Zheng Liu, American Economic Journal: Macroeconomics 6(1), January 2014, pp.32-69.

36. Financial Constraints, Endogenous Markups and Self-Fulfilling Equilibria, with Jess Benhabib, Journal of Monetary Economics, 2013 October, 60 (7), pp. 789-805.

37. Land-Price Dynamics and Macroeconomic Fluctuation, with Zheng Liu and Tao Zha, Econometrica, May 2013, 81(3), pp. 1147-1184.

38. Speculative Bubbles and Financial Crisis, with Yi Wen, American Economic Journal: Macroeconomics, July 2012, 4(3), pp. 184-221.

39. Bubbles and Total Factor Productivity, with Jianjun Miao, American Economic Review, May 2012, 102(3), pp.82-87.

40. Hayashi meets Kiyotaki and Moore: A Theory of Capital Adjustment Costs, with Yi Wen, Review of Economic Dynamics, April 2012, 15(2), pp. 207-255.

41. Understanding Expectation-Driven Fluctuations-A Labor-Market Approach, Journal of Money, Credit, and Banking, March, 2012, 44(2-3), pp.487-506.

42. Volatility, Growth, and Welfare, with Yi Wen, Journal of Economic Dynamics and Control, October 2011, 35(10), pp.1696-1709.

43. Understanding the effects of technology shocks, with Yi Wen, Review of Economic Dynamics, October 2011, 14(4), pp.705-724.

44. Imperfect Competition and Indeterminacy of Aggregate Output, with Yi Wen, Journal of Economic Theory, November 2008, 143(1), pp. 519-40.

45. Inflation Dynamics: A Cross-Country Investigation, with Yi Wen, Journal of Monetary Economics, October 2007, 54(7), pp. 2004-31.

46. Another Look at Sticky Prices and Output Persistence, with Yi Wen, Journal of Economic Dynamics and Control, December 2006, 30(12), pp. 2533-52.

47. Endogenous Money or Sticky Prices? Comment on Monetary Non-Neutrality and Inflation Dynamics, with Yi Wen, Journal of Economic Dynamics and Control, August 2005, 29(8), pp. 1361-83.

Working Papers

48. Aggregate Demand Externality and Self-Fulfilling Default Cycles, with Jess Benhabib, Feng Dong and Zhenyang Xu, 2025 (NBER Working Paper Series: 32291)

R&R at the Journal of Monetary Economics

49. Turbulent Business Cycles, with Ding Dong and Zheng Liu, 2025 (FRBSF Working Paper Series: 2021-22)

R&R at the Journal of Monetary Economics

50. Incomplete Information and Self-fulfilling Inflation Dynamics - Lucas meets Keynes, with Jess Benhabib and Yi Wen, 2025

51. Reference-dependent Preferences and Sentiment-Driven Asset Prices, with Jess Benhabib, Zhaorui Li and Xuewen Liu, 2025

52. Inflation Disagreement Weakens the Power of Monetary Policy, with Ding Dong, Zheng Liu, and Min Wei, 2025 (FRBSF Working Paper Series: 2024-27 )

53. Asset Bubbles, R&D, and Endogenous Growth, with Ding Dong and Jianjun Miao, 2025

54. Growth and Cycles with Asset Bubbles: A Global Dynamics Approach, with Jess Benhabib, Feng Dong, and Zhenyang Xu, 2025

55. Nominal Rigidities, Earnings Manipulation, and Securities Regulation, with Erica XN Li, Jin Xie and Ji Zhang, 2025

56. Misallocation and Asset Prices, with Winston Dou Wei, Di Tian and Ji Yan, 2025

57. Reputation Cost of Price Cut: Modern Theory and Evidence for Price Stickiness, with Xuewen Liu, Hengxu Song, Zhongchao Yang, 2023

58. Financial Origin of Real Uncertainty, with Ding Dong and Zheng Liu, 2023

59. Uncertainty, Liquidity Constraint, and Entrepreneurship, with Daniel Xu, Sichuang Xu and Zhiwei Xu, 2022

60. Sentiment, Belief Divergence, and Asset Bubbles, with Xuewen Liu and Zhongchao Yang, 2022

61. A Theory of Credit Cycles in Pandemic, with Feng Dong and Zhiwei Xu, July 2021