Prof. Ralph Luetticke has been awarded an ERC Starting Grant, “Aggregate and Idiosyncratic Risk in Macroeconomics” (101114991 — AIRMAC — ERC-2023-STG), to study the interaction of aggregate and idiosyncratic risk. The ERC proposal has several goals, including the development of higher order perturbation solutions for HANK models, understanding the impact of aggregate risk on inequality, asset pricing with many risks, and optimal fiscal/monetary policy.

See below the team working on these goals as well as our current ERC working papers and codes.