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Will Matcham

@willmatcham.bsky.social

480 followers 641 following 16 posts

Economist specialising in IO, household finance, and innovation. PhD Economics from LSE; AP at RHUL willmatcham.com

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Will Matcham @willmatcham.bsky.social · 01/07/2025

Almost two years at @royalholloway.bsky.social now, and still nowhere near over how gorgeous this campus is.

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Will Matcham @willmatcham.bsky.social · 10/03/2025

All other findings in the paper go through, including my favourite figure from the paper, included here. It shows that lenders use interest rate tailoring in the counterfactual to price discriminate, rather than control default risk (which is done separately through tailored credit limits). (8/10)

plot showing two features. First, under EU regulation, credit card interest rates are flat along customers' interest rate elasticity, for both high- and low-risk types. Second, when regulation is relaxed, lenders give higher interest rates for inelastic borrowers, and do this in the same way for high- and low-risk types.

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Will Matcham @willmatcham.bsky.social · 11/12/2024

Cute detail in @jeffgortmaker.com's JMP: in a paper about open source software, pyBLP is used for the demand estimation, which is Jeff's own open source software! It's a great paper - you should take a look at it.

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