Brendan Daley
Institution
Johns Hopkins University
PhD Year
2008
prof.brendan.daley@gmail.com
FTG Membership
Member
Website
https://sites.google.com/site/bd28home/
Featured Work
Nov 1, 2025
Bargaining and News
We study a bargaining model in which a buyer makes frequent offers to a privately informed seller, while gradually learning about the seller’s type from “news.” We show that the buyer’s ability to leverage this information to extract more surplus from the seller is remarkably limited. In fact, the buyer gains nothing from the ability to negotiate a better price despite the fact that a...
Nov 1, 2025
Securitization, Ratings, and Credit Supply
We show that the availability of credit ratings (or other public information) increases the allocative efficiency of cash flows by reducing costly retention, but reduces lending standards and can lead to an oversupply of credit. These findings are in contrast to regulators' view of credit ratings as a "disciplining device." Moreover, improved screening does not solve the problem; as banks' screening technology becomes more precise,...
