C. Sean Hundtofte

Yale Doctoral Candidate - Financial Economics

Fields of interest:



Household Finance, Financial Distress, Behavioural Economics and Finance

Suite 3220 Evans Hall, P.O. Box 208200, New Haven CT 06520-8200

sean.hundtofte 'at' yale.edu

Working Papers
    • "Non-strategic Mortgage Borrower Behaviour: Sending Letters Can Improve Outcomes"
      • I use a field experiment to explore the role of non-strategic factors in the exercise of two key options available to a mortgage borrower: default and prepayment. Simple low-cost treatments increase prepayments in the short-run and decrease contractual delinquency in the long-run. I propose a Prospective Memory-based explanation of both facts. I find the gradual decrease in defaults cannot be explained by option-exercise or dual trigger models of default, and the temporary increase in prepayments cannot be explained by popular models of “rational inattention”.
    • "The Banks That Couldn't Fail"
      • Analysis of the real effects of not failing troubled banks, or "regulatory forbearance", during a banking crisis.
    • "

      Relative Price 

       Relative Value: Context Affects Returns in Sports Betting Markets

       with Andrew Meyer and Shane Frederick
      • We test for a compression in gambling odds.  Results from the market data and also from the lab are consistent with contrast effects. The appeal of a particular gamble appears to be influenced by the returns available on similar - but completely independent - outcomes.
    • "Compare and Contrast Effects"  
      • Inspired by the positive results for contrast effects in gambling markets, I test for a compression in equity valuations and find that early equity valuations appear to be anchored to industry comparables.
Work In Progress
  • "No Such Thing as a Free Option? Loan Modifications and Mortgage Borrower Outcomes"