Faculty News

Professor Xavier Gabaix's research on financial decision-making is featured

Excerpt from Bloomberg View -- "The estimate that cognitive function peaks at age 53 comes from a 2009 paper by Laibson, Sumit Agarwal, John C. Driscoll and Xavier Gabaix titled 'The Age of Reason: Financial Decisions over the Life Cycle and Implications for Regulation.' The four economists examined the fees and interest rates paid by thousands of borrowers in 10 different types of credit transactions, and found that, on average, such costs were minimized at age 53.3."

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