CV - Job Market Paper  

Pozo, Jorge

Job market candidate

Contact information

Tel. +34 93 542 1621

Available for Interviews at :

Simposio de la Asociación Española de Economía (SAEe), December 14-16, Barcelona, Spain

Allied Social Science Associations (ASSA), January 5-7, Philadelphia, US


Research interests

Primary Field: Macroeconomics. 

Secondary Fields: Banking. Financial Economics

Placement officer

Filippo Ippolito


Andrea Caggese (Advisor)

Luca Fornaro (Advisor)

Zenón Quispe



"Macroprudential Policies in an Open Economy" (Job Market Paper)
I develop an open economy model with banks facing a foreign borrowing limit. The interaction of banks' limited liability and deposit insurance leads to a socially excessive bank risk-taking, which involves the volume of bank's credit and not the type of credit. The novel result is that under a realistic calibration a lower foreign interest rate reduces the excessive bank risk-taking. Since the foreign borrowing limit is binding, this lower rate does not boost bank's credit, but rather decreases it since the lower rate increases bank's profits when it does not default and thus diminishes risk-taking incentives. By acting through the same mechanism, a greater access to the international credit markets reduces the excessive risk-taking. Hence, the optimal capital requirement is less severe after a foreign rate reduction and a higher foreign borrowing limit.