On the effects of restricting short-term investment

Nicolas Crouzet, Ian Dew-Becker, and Charles G. Nathanson
Forthcoming, Review of Financial Studies

Restricting short-term trading hurts short- and long-term professional investors but may help less sophisticated investors.

Additional links: free version

Directed Attention And Non-parametric learning

Ian Dew-Becker and Charles G. Nathanson
Journal of Economic Theory 181 (2019): 461-496

An optimal boundedly rational model captures low-frequency but not high-frequency dynamics of income.

Additional links: free version


Charles G. Nathanson and Eric Zwick
Journal of Finance 73(6) (2018): 2587-2633

Speculation reverses the common intuition that elastic housing supply attenuates house price booms.

Additional links: free version, replication files (15.9 MB)

An extrapolative model of house price dynamics

Edward L. Glaeser and Charles G. Nathanson
Journal of Financial Economics 126(1) (2017): 147-170

A modest approximation to rationality leads house prices to display momentum, mean reversion, and excess volatility.

Additional links: working paper, simulation replication files

Taxation and the allocation of talent

Benjamin B. Lockwood, Charles G. Nathanson, and E. Glen Weyl
Journal of Political Economy 125(5) (2017): 1635-1682

When different occupations have different spillover benefits (or costs) to society, the income tax can increase efficiency by incentivizing workers to choose more productive jobs.

Additional links: supplemental appendix, replication files (23 MB)

housing bubbles

Edward L. Glaeser and Charles G. Nathanson
Handbook of Regional & Urban Economics, Vol. 5 (2015)

The most promising explanations of real estate bubbles emphasize
some form of trend-chasing, which in turn reflects boundedly rational learning.

Additional links: NBER working paper

Housing dynamics: an urban approach

Edward L. Glaeser, Joseph Gyourko, Eduardo Morales, and Charles G. Nathanson
Journal of Urban Economics 81 (2014): 45-56

A rational, spatial-equilibrium model estimated with city-level income data captures some of the mean reversion and volatility in house prices, but none of the short-run persistence.

Additional links: free version, supplemental appendix

calculating evolutionary dynamics in structured populations

Charles G. Nathanson, Corina E. Tarnita, and Martin A. Nowak
PLoS Computational Biology 5(12): 45-56 (2009)

An easily computable statistic determines which strategy in a 2-by-2 game is evolutionarily stable when that game is played on a given graph.