Research

Working Papers

Contracts, Incentives, and Peer Effects in the Workplace. [pdf]

(with Marc Claveria-Mayol and Pau Milán)

We study the problem of a principal designing wage contracts that simultaneously incentivize and insure workers. Workers’ incentives are connected through chains of productivity spillovers, represented by a network of peer-effects. We solve for the optimal linear contract for any network and show that optimal incentives are steeper for more central workers. We link firm profits to organizations’ structure via the spectral properties of the co-worker network. When production is modular, the incentive allocation rule is sensitive to the link structure across and within modules. When firms can’t write personalized contracts, better connected workers extract rents and total surplus is reduced. In this case, unemployment emerges endogenously because large within-group differences in centrality can decrease firm’s profits.

Work in Progress

The role of ownership in Energy Transition Decisions.

(with Albert Banal-Estañol)

We study how ownership structures influence decisions to reduce emissions in the U.S. power sector. Using 23 years of data on over 1,100 power generators, we examine how public, private, and government ownership affect decisions to continue operations, retire, convert, or replace coal-based assets. We apply duration and dynamic discrete choice models to identify key factors driving these decisions, such as ownership types, market conditions, and regulatory pressures. Our findings show that government-owned generators transition faster than private ones, with fuel prices and cost dynamics playing a major role. This research highlights the importance of ownership in shaping the energy transition.

Other Publications

Productive exclusion: Accessibility inequalities and informal employment in Bogotá. Geoforum, 159 (2025). [pdf]

(with Daniel Oviedo-Hernandez and Luis Ángel Guzman)

Our study in Bogotá examines accessibility to formal and informal employment using geocoded travel and household data. We find that public transport contributes to social and spatial inequalities, affecting different groups. By linking public transport accessibility to formal employment safety nets, we analyze how the city's current configuration influences job opportunities. Our study reveals varying levels of social and productive inclusion, highlighting the impact of informal job dependency. Investments in public transport may reinforce economic activity concentration, and we propose policy implications for low-skilled, low-income workers in the informal economy.

Other Work

A Contract Theory Approach to Blended Finance. [pdf]

I present a theoretical model that examines the advantages and limitations of blended finance. Blended finance refers to the strategic use of concessional capital to attract private investment towards projects with positive social impact. Without concessional support, these projects may remain unrealized, resulting in missed welfare opportunities. We use mechanism design to establish the conditions for commercial project financing under symmetric information and moral hazard. We then introduce a welfare-maximizing concessional lender capable of internalizing positive project externalities, and we study the optimal financing of projects that require concessional intervention. Our results show that a blended finance approach outperforms standalone financing by delivering greater welfare at a lower grant equivalent cost.

Going Green Together: Peers Effects in CO2 Emissions Reductions. [pdf]

I examine the link between spatial spillover effects and emissions reductions in the US metals manufacturing sector. Using spatially referenced micro data and network theory, I construct an industrial network to determine whether emissions reductions at one facility can positively impact neighboring plants. My findings show that a facility's decision to reduce emissions is influenced by both spatial and organizational peers. Facilities that choose to reduce emissions tend to be spatially clustered or part of the same corporate group. However, only organizational peers influence the extent of emissions reduction. Our main finding suggests that policies aiming at emissions reduction should target clusters of facilities instead of isolated emitters to be more effective. Once a facility has started reducing emissions, policies should target multi-facility firms at the holding company level to achieve desired emission reduction targetst.

Does proximity to massive transport systems reduce the probability of being informally employed? Evidence from Bogotá. [pdf] Biblioteca Virtual, Banco de la República de Colombia Bogotá, Colombia

I explore the impact of public transport expansion on social inclusion in Bogotá, using the framework of the Spatial Mismatch Hypothesis (SMH). Specifically, I investigate how proximity to Transmilenio BRT stations relates to the likelihood of informal employment. The findings indicate that residents living near these stations have a decreased probability of being informally employed, with varying effects on individuals with high and low skill levels. My research contributes empirical evidence to the SMH literature in the context of informality in the developing world, emphasizing the need for nuanced public policy development to address the intricate interplay between transport and informality.

Efficiency analysis of the electricity generation sector in Colombia [pdf] (In Spanish)

I analyze data from 47 power generation plants in Colombia (20 hydroelectric and 27 thermoelectric) between October 2011 and October 2012, using Data Envelopment Analysis (DEA) and Statistical Data Envelopment Analysis (SDEA) to measure electrical energy production efficiency. The study constructs a production frontier considering various physical and technical variables to explain the input-output relationship. Results categorize plants based on relative efficiency, with hydroelectric plants showing higher efficiency on average. The analysis reveals no efficiency differences based on plant size. The findings establish a hierarchy of plants based on calculated efficiency, considering factors such as generation type, size, and operating company. Quarterly efficiency evolution is also examined, providing insights into performance fluctuations during the study period.

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