William Smith, Professor and Chair

William Smith

Professor and Chair, Department of Economics

BA 400A
Office Hours
TR 4:15-5:15 or by appointment


B.A., International Affairs, American College in Paris - 1979

M.A., Economics, University of Miami - 1980

Ph.D., Economics, University of Virginia - 1987

Areas of Research: 

Macroeconomics, Growth, Risk and Uncertainty   

Areas of Teaching:

Macroeconomics, International Macroeconomics


"Forward Exchange Rates in General Equilibrium," Journal of International Money & Finance 10 (1991), pp. 497-511.

"Price Discrimination with Correlated Demands," with Catherine Eckel, Southern Economic Journal 59 (1992), pp. 58-65.

"Investment, Uncertainty, and Price Stabilization Schemes," Journal of Economic Dynamics and Control 18 (1994), pp. 561-579.

"It Pays to Be Different: Endogenous Heterogeneity of Firms in an Oligopoly," with David Mills, International Journal of Industrial Organization 14 (1996), pp. 317-329.

"Taxes, Uncertainty, and Long-Term Growth," European Economic Review 40 (1996), pp. 1647-1664. 

"Feasibility and Transversality Conditions for Models of Portfolio Choice with Non-Expected Utility in Continuous Time," Economics Letters 53 (1996), pp. 123-131.

"The Treatment of Medical Indebtedness in Personal Bankruptcy," with Dennis Wilson, John Rogers, and Cyril Chang, TheJournal of Economics 23 (1997).  

"Birth, Death and Consumption: Overlapping Generations and the Random Walk Hypothesis," International Economic Journal 23 (1998), pp. 105-116.

"Risk, the Spirit of Capitalism and Growth: the Implications of a Preference for Capital," Journal of Macroeconomics 21 (1999), pp. 241-262.

"The Calculus of Fear: Revolution, Repression, and the Rational Peasant," with Julia Heath, David Mason, and Joseph Weingarten, Social Sciences Quarterly 81 (1999).

"How Does the Spirit of Capitalism Affect Stock-Market Prices?" Review of Financial Studies 14 (2001): 1215-1232.

"Shipping the Good Times Out: A Note on Apples and Donations of Time and Money," with Cyril Chang, Economics Bulletin January 2002.

"Marshallian Recursive Preferences and Growth," with Michael Gootzeit and Johannes Schneider, Journal of Economic Behavior & Organization 49 (2002): 381-404.

"Consumption and Saving With Habit Formation and Durability," Economics Letters 75 (2002): 369-375. 

"But Can She Cook? Women's Education and Housework Productivity," with David Sharp, Julia Heath, and David Knowlton, Economics of Education Review 23 (2004): 605-614.

"Can the Desire to Conserve Our Natural Resources Be Self-Defeating?" with Young Seob Son, Journal of Environmental Economics & Management 49 (2005): 52-67.  

 "Equilibrium Consumption and Precautionary Savings in a Stochastically Growing Economy," with Stephen Turnovsky.  Journal of Economic Dynamics & Control 30 (2006), 243-278.  

"Fertility, Volatility, and Growth," with Aude Pommeret.  Economics Letters 87 (2005): 347-353  

“Why Do Pooled Forecasts Do Better Than Individual Forecasts?  An Alternative Explanation,” with Diego Nocetti, Economics Bulletin, Vol 4, No. 36 (2006).

 “Asset Pricing with Multiplicative Habits and Power-expo Preferences,” with Richard Zhang, Economics Letters March (2007): 319-325.

 “Consumption and Risk with Hyperbolic Discounting,” with Heng-Fu Zou and Liutang Gong, Economics Letters 96 (2007): 153-160.

 “Inspecting the Mechanism Exactly:  A Closed-form Solution to a Stochastic Growth Model,”BE Contributions to Macroeconomics (August 2007).

“The Spirit of Capitalism and Excess Smoothness,” with Yulei Luo and Heng-fu Zou, Annals of Economics & Finance 10 (2008): 281-301. 

“The Spirit of Capitalism, Precautionary Savings, and Consumption,” with Yulei Luo and Heng-fu Zou,” Journal of Money, Credit, & Banking 41 (2009): 543-554.

“Time Diversification: Definitions and Some Closed-form Solutions,” with Kee Chung and Tao Wu, Journal of Banking & Finance 33 (2009): 1101-1111.

“Uncertainty, the Demand for Health Care, and Precautionary Saving,” with Diego Nocetti, BE Advances in Economic Analysis & Policy vol. 10, issue 1(2010). 

“Price Uncertainty, Saving, and Welfare” (2011), with Diego Nocetti, Journal of Economic Dynamics and Control 35, 1139-1149

“Precautionary Savings and Labor Supply with Non-Expected Utility Preferences,” with Diego Nocetti (2011),  Journal of Money, Credit & Banking 43, 1475-1504.“

A New Look at the Determinants of the Ecological Discount Rate: Disentangling Social Preferences,” with Luciana Echazu and Diego Nocetti, B.E. Journal of Economic Analysis & Policy, Advances (2012).

"The Effects of Wage Volatility on Growth," with Michael Jetter and Olexander Nikolsko-Rzheskyy, Journal of Macroeconomics 37 (2013), pp. 93-109.

"Saving-Based Asset Pricing," with Johannes Dyer and Johannes Schneider, Journal of Banking and Finance 37 (2013), pp. 3704-3715

"The Discriminating Beta: Prices and Capacity with Correlated Demands," with Catherine Eckel, Southern Economic Journal, 81 (2014): 56-67.

"Changes in Risk and Strategic Interaction," with Diego Nocetti, Journal of Mathematical Economics, 56 (2015): 37 – 46.

Working Papers:

"Warm Glow Investment and the Under-performance of Green Stocks" (with Johann Dreyer and Vivek Sharma)