Prof. Dr. Christian Bayer

E-mail: christian.bayer(at)
Phone: +49 228 73 4073
Fax: +49 228 73 9189
Institute: Department of Economics
Research Area: Research Area B2

Academic Career



2001 - 2004

Research and Teaching Assistant, University of Dortmund


Dr. rer. pol., Graduate School, University of Dortmund

2004 - 2005

Jean Monnet Fellow, European University Institute, Florence, Italy

2004 - 2008

Assistant Professor, University of Dortmund


Postdoctoral Research Fellow, Cowles Foundation, Yale University, New Haven, CT, USA

2007 - 2009

Franco Modigliani Research Fellow at IGIER, Bocconi University, Milan, Italy

2014 - 2015

Visiting Fellow (Fernand Braudel Fellow), European University Institute, Florence, Italy

Since 2008

Professor (W3) of Economics, University of Bonn

Since 2015

Research Affiliate, Centre for Economic Policy Research (CEPR), London, England, UK

Research Profile

Christian Bayer is a macroeconomist whose research focuses on investments of firms and household savings in environments with heterogeneous agents, on worker, job-, and firm dynamics, as well as the macroeconomic implications of financial frictions. His research combines in-depth empirical analysis of micro data for macroeconomic questions and theoretical, quantitative work that uses state-of-the-art numerical techniques to solve and simulate general equilibrium models of heterogeneous agents.

Research Projects and Activities

DFG Research Training Group GRK 1707 “Heterogeneity, Risk, and Dynamics in Economic Systems”
Co–Investigator, 2011 - 2015

ERC Starting Grant “HUMP”, Volume: 878,000 euros
2012 - 2016

EU Horizon 2020 project: “ADEMU”
Co–Investigator, 2015 - 2018

ERC Consolidator Grant “A Unified Framework of Business Cycles and Household Portfolios: Income Risks, Asset Liquidity, and Inequality (''LiquidHouseCycle'')”
Since 2016

DFG Research training group 2281 “The macroeconomics of inequality”

Contribution to Research Areas

Research Area H
Christian Bayer’s research with Area H focusses on the role of heterogeneity of agents for the aggregate performance of an economy. In a first group of projects, he investigates the role of adjustment costs to capital in the presence of time-varying idiosyncratic uncertainty for the business cycle behavior of aggregate investment, consumption and output [1], [2]. A second branch of his research focusses on financial frictions [3]. In particular, he investigates the riskiness of idiosyncratic household incomes [4], how households deal with this riskiness, and how it translates into well-being [5] through savings decisions. An important question within this line of research is to understand the effect missing insurance markets for idiosyncratic risks have for the business cycle. They effect individual consumption, savings and in particular portfolio decisions of heterogeneous agents and in particular their response to aggregate shocks and changes in economic policy.

Selected Publications

[1] Rüdiger Bachmann, Christian Bayer
Investment dispersion and the business cycle
The American Economic Review , 104: (4): 1392--1416
Publisher: American Economic Association
[2] Rüdiger Bachmann, Christian Bayer
lq Wait-and-Seeâ??business cycles?
Journal of Monetary Economics , 60: (6): 704--719
[3] Christian Bayer
Investment dynamics with fixed capital adjustment cost and capital market imperfections
Journal of Monetary Economics , 53: (8): 1909--1947
Publisher: Elsevier
[4] Christian Bayer, Falko Juessen
The life-cycle and the business-cycle of wage risk: Cross-country comparisons
Economics Letters , 117: (3): 831--833
[5] Christian Bayer, Falko Juessen
Happiness and the Persistence of Income Shocks
American Economic Journal: Macroeconomics , 7: (4): 160-87
[6] Christian Bayer
A Comment on the Economics of Labor Adjustment: Mind the Gap: Evidence from a Monte Carlo Experiment
American Economic Review , 99: (5): 2258--2266
[7] Christian Bayer, Volker Tjaden
Large open economies and fixed costs of capital adjustment
Review of Economic Dynamics , 21: : 125--146
[8] Christian Bayer, Falko Juessen
On the dynamics of interstate migration: Migration costs and self-selection
Review of Economic Dynamics
Publisher: Elsevier

Publication List

RePEc Publication List (external link)



Journal of Applied Econometrics Scholars Programme


Econometric Society Meeting (Australasian Section, Sydney) Prize for the best PhD paper


Rudolf Chaudoire Research Prize for the PhD thesis, University of Dortmund


Best PhD Thesis 2004, Econ. Department, University of Dortmund

2004 - 2005

Jean Monnet Fellowship at the European University Institute

2007 - 2009

Franco Modigliani Research Fellowship


ERC Starting Grant (funding period 2012 - 2016)


Fernand Braudel Research Fellowship (EUI, Florence)


ERC Consolidator Grant

Selected Invited Lectures

2012 and before

Annual Conference of the Verein für Socialpolitik (2002, 2003, 2004, 2006, 2009, 2011), North-American Winter Meeting of the Econometric Society (2003, 2010), Inventory Research Group at ASSA meetings (2010), Konstanz Seminar (2010), CESifo Conference on Survey Data and Macroeconomics (2012), CSEF (2009), European Summer Meeting of the Econometric Society (2007, 2009), Society of Economic Dynamics (2006, 2009), Latin-American Meetings of the Econometric Society (2008), American Economic Association Meetings (2007), Spring Meeting of Young Economists (2002, 2003, 2006, 2007), European Economic Association Meetings (2004, 2005, 2006), North American Summer Meeting of the Econometric Society (2002, 2006), Royal Economic Society Meetings (2004), Australasian Meeting of the Econometric Society (2003)


Royal Economic Society Meetings, Society of Economic Dynamics, Padova Macro Workshop, Mannheim Workshop, ESEM


Konstanz Seminar, CES ifo Conference on Survey Data and Macroeconomics, Standing Field Committee for Macroeconomics of the VfS


SITE-conference on Uncertainty, Stanford; Standing Field Committee for Macroeconomics of the VfS, Zürich; X. RED.g Conference, Barcelona; 1st International User Conference of the FDZ, Ann Arbor

2012 and before

ANU Canberra (2003), Ca‘ Foscari University of Venice (2009), Central European University Budapest (2012), Deutsche Bundesbank (2007, 2009), EIEF (2012), European University Institute (2004, 2008, 2012), Humboldt University Berlin (2003, 2010), Bocconi University (2007), University of Basel (2011), University of Bochum (2008), University of Bonn (2007), University of Dortmund (2004), University of Hamburg (2006), University of Cologne (2008, 2010), University of Münster (2006), University of Groningen (2010), University of Amsterdam (2009), Yale University (2005)


Carlos III University of Madrid, University of Basel, University of Frankfurt, University of Mainz


University of Hamburg, University of Mannheim


NHH-Bergen, Queen Mary University, Carlos III University of Madrid, University of Wien, Autonomous University of Barcelona, DIW-Berlin


University College London, Humboldt University Berlin, Goethe University Frankfurt, National University Singapore, Trinity College Dublin



University of Mainz


University of Bonn


University of Cologne


University of Basel, Switzerland


University of Vienna, Austria

Selected PhD students

Ralph Lütticke (2016): “Heterogeneity in Household Portfolios and its Implication for Fiscal and Monetary Policy”,
now Lecturer, University College London, England, UK

Supervised Theses

  • PhD theses: 5, currently 4
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