Edward J. Green
Encyclopedia
Edward J. Green is an American economist
best known for his contributions to the theory of dynamic contracts
. Green received his Ph.D.
from Carnegie Mellon University
in 1977. His dissertation won him the Alexander Henderson Award
for excellence in economics. He has previously taught at Princeton University
and worked at the Federal Reserve Bank of Minneapolis
, and the Federal Reserve Bank of Chicago
, and is currently Professor of Economics at Pennsylvania State University
.
Green has written several influential articles.
In a 1984 article written with Robert Porter published in Econometrica
, Green and Porter showed that price wars can periodically occur even among firms that are colluding in an optimal fashion.
In a 1987 contribution ("Lending and the Smoothing of Uninsurable Income"), he studied the optimal consumption allocation that a planner would choose if he could not observe households' income, and that income was uncertain to households. The planner faces a trade-off between insuring households and enticing the households to reveal if they have had high or low income. Green showed that the allocation was related to Milton Friedman
's permanent income theory. This contribution is one of the earliest in the economic field of dynamic contracts.
Ed Green is known for his very careful and logically tight reasoning.
An interview with Ed Green: http://www.minneapolisfed.org/pubs/region/05-12/green.cfm
Ed Green's web page: http://econ.la.psu.edu/people/biographies/green_bio.shtml
Economics
Economics is the social science that analyzes the production, distribution, and consumption of goods and services. The term economics comes from the Ancient Greek from + , hence "rules of the house"...
best known for his contributions to the theory of dynamic contracts
Contract theory
In economics, contract theory studies how economic actors can and do construct contractual arrangements, generally in the presence of asymmetric information. Because of its connections with both agency and incentives, contract theory is often categorized within a field known as Law and economics...
. Green received his Ph.D.
Doctor of Philosophy
Doctor of Philosophy, abbreviated as Ph.D., PhD, D.Phil., or DPhil , in English-speaking countries, is a postgraduate academic degree awarded by universities...
from Carnegie Mellon University
Carnegie Mellon University
Carnegie Mellon University is a private research university in Pittsburgh, Pennsylvania, United States....
in 1977. His dissertation won him the Alexander Henderson Award
Alexander Henderson Award
The Alexander Henderson Award is presented to the student at the Tepper School of Business at Carnegie Mellon University who displays the best work in the field of economic theory. A large proportion of the winners of the award has later made contributions to economics that have changed the...
for excellence in economics. He has previously taught at Princeton University
Princeton University
Princeton University is a private research university located in Princeton, New Jersey, United States. The school is one of the eight universities of the Ivy League, and is one of the nine Colonial Colleges founded before the American Revolution....
and worked at the Federal Reserve Bank of Minneapolis
Federal Reserve Bank of Minneapolis
The Federal Reserve Bank of Minneapolis, located in Minneapolis, Minnesota, in the United States, covers the 9th District of the Federal Reserve, including Minnesota, Montana, North and South Dakota, northwestern Wisconsin, and the Upper Peninsula of Michigan...
, and the Federal Reserve Bank of Chicago
Federal Reserve Bank of Chicago
The Federal Reserve Bank of Chicago is one of twelve regional Reserve Banks that, along with the Board of Governors in Washington, D.C., make up the nation's central bank....
, and is currently Professor of Economics at Pennsylvania State University
Pennsylvania State University
The Pennsylvania State University, commonly referred to as Penn State or PSU, is a public research university with campuses and facilities throughout the state of Pennsylvania, United States. Founded in 1855, the university has a threefold mission of teaching, research, and public service...
.
Green has written several influential articles.
In a 1984 article written with Robert Porter published in Econometrica
Econometrica
Econometrica is a peer-reviewed academic journal of economics, publishing articles not only in econometrics but in many areas of economics. It is published by the Econometric Society and distributed by Wiley-Blackwell. Econometrica is one of the most highly ranked economics journals in the world...
, Green and Porter showed that price wars can periodically occur even among firms that are colluding in an optimal fashion.
In a 1987 contribution ("Lending and the Smoothing of Uninsurable Income"), he studied the optimal consumption allocation that a planner would choose if he could not observe households' income, and that income was uncertain to households. The planner faces a trade-off between insuring households and enticing the households to reveal if they have had high or low income. Green showed that the allocation was related to Milton Friedman
Milton Friedman
Milton Friedman was an American economist, statistician, academic, and author who taught at the University of Chicago for more than three decades...
's permanent income theory. This contribution is one of the earliest in the economic field of dynamic contracts.
Ed Green is known for his very careful and logically tight reasoning.
An interview with Ed Green: http://www.minneapolisfed.org/pubs/region/05-12/green.cfm
Ed Green's web page: http://econ.la.psu.edu/people/biographies/green_bio.shtml