PhD Candidate, Department of Economics

Contact Information

Department of Economics
Northwestern University
2211 Campus Drive
Evanston, IL 60208

Phone: 224-241-5717
gaby@u.northwestern.edu
Personal website

Curriculum Vitae

Download Vita (PDF)

Education

Ph.D., Economics, Northwestern University, 2019 (expected)
MA, Economics, Northwestern University, 2015
MA, Economics, Universidad Torcuato Di Tella, 2013
BA, Economics, Universidad Nacional de Córdoba, 2010.

Fields of Specialization

Macroeconomics, International Economics

Job Market Paper

“Emerging markets, household heterogeneity, and exchange rate policy”
Download Job Market Paper (PDF)
I argue that household heterogeneity plays a key role in the transmission of aggregate shocks in emerging market economies. Using Mexico’s 1995 crisis as a case study, I first document empirically that working in the tradable versus non-tradable sector is a crucial determinant of the income and consumption losses of different types of households. Specifically, households in the non-tradable sector suffered much larger income and consumption losses regardless of other household characteristics. To account for the effect of this observation on macroeconomic dynamics, I construct a New Keynesian small open economy model with household heterogeneity along two dimensions: uninsurable sector-specific income and limited financial-market participation. I find that the propagation of shocks in this economy is affected by both dimensions of heterogeneity, with uninsurable sector-specific income playing a quantitatively larger role. In terms of policy, a managed exchange rate policy is more costly overall when households are heterogeneous; however, households in the non-tradable sector benefit from it.

Work in Progress

“Devaluations and market power” joint with Matias Escudero (Northwestern University)
Brief abstract: This paper studies the impact of macroeconomic episodes associated with large price distortions on market outcomes such as price dispersion, industries’ concentration levels, and market power. If learning about relative prices is costly to consumers, then some firms might find it profitable to adjust prices in a different way from what it would be expected if consumers were informed about the impact of a currency depreciation on each firms’ cost structure. We explore these ideas by looking at the effects of the Argentine currency depreciation of early 2002 on prices and concentration levels in markets for packaged consumer goods.

“Inflation and the underground economy: a transactions-based approach” (Draft coming soon!)
Brief abstract: I use a transactions-based approach, as in Lagos and Wright (2005), to study the role of inflation as a revenue instrument in an environment where not all transactions are observable by the government and money is used as a payment instrument.

“The costs of using cash: evidence from the legal marijuana industry” joint with Gideon Bornstein (Northwestern University) (Draft coming soon!)
Brief abstract: We exploit a natural experiment that has forced the legal cannabis industry in the US to hold and transact primarily with cash. We conduct a survey of businesses in the marijuana industry to learn about their cash management practices and their willingness to pay for banking services. We address two questions: (i) what are the average costs of cash, and (ii) is this cost function convex?

“Macroprudential policies with heterogeneous households”

“Women and the labor market of politics” joint with Analía Gomez Vidal (University of Maryland)

Teaching

Undergraduate TA: Intermediate Microeconomics, Intro to game theory, Behavioral Economics.
Prof. Eric Schulz and Prof. William Rogerson. Download Teaching Evaluations (PDF)

Executive MBA TA: Macroeconomics.
Prof. Janice Eberly and Prof. Martin Eichenbaum.

References

Prof. Matthias Doepke (Committee Chair)
Prof. Martin Eichenbaum
Prof. Luigi Bocola
Prof. William Rogerson (Teaching reference)