On the Overlap between Microeconomics and Finance
The overlap between microeconomics and finance, especially banking, is a hot topic. The recent banking crisis and sovereign-debt crisis have raised a host of open questions for economic theory. Politicians and regulators are designing new rules for financial markets faster than economic theorists can follow. Hendrik Hakenes is focusing his research on this overlap, in particular by analysing the macroeconomic feedback from the distress of individual banks on market prices, and discussing regulatory responses and their effect on market channels of contagion.
His methodology typically comes from microeconomic theory, which has made contributions to banking regulation, financial stability, systemic risk, bank competition, bank governance, risk management, but also on asset price bubbles and their emergence, and reputation in firms.
Hendrik Hakenes holds the chair of Financial Economics at the University of Bonn. He obtained his Bachelor and Master of Mathematics degrees from the University of Bonn, and his PhD in Economics (bank management) from the University of Münster.
He then went to Mannheim for a postdoc position at Martin Hellwig's chair, then moving with him to the Max Planck Institute for Research on Collective Goods in Bonn. After a guest visit in Minneapolis at the Carlson School of Management, he got his first position as a full professor in Hannover. His fields of interest are the theory of financial economics, especially banking and financial regulation, and industrial economics. He has published in the Review of Financial Studies, the Journal of Economic Theory, and the Journal of Public Economics, among others.