“Racial Disparities in the U.S. Mortgage Market,” forthcoming in AEA Papers and Proceedings
We study racial disparities in the U.S. mortgage market. Using new data from Hurtado and Sakong (2024), we present three findings. First, we document access disparities between minority and otherwise- identical White borrowers even within the same bank and loan officer. In contrast, cost disparities are nearly zero. Second, the use of automated underwriting algorithms is associated with smaller access disparities but slightly larger cost disparities. Third, individual factors do not seem to matter much.
AI Research Briefs
Finance professor Agustin Hurtado’s AI research highlights racial disparities in mortgage lending, while Information Systems researchers study AI chatbots' impact on mental health counseling. Marketing professor Michel Wedel explores predicting decisions via eye-tracking, and accounting professor Rebecca Hann examines AI’s evolving role in the accounting industry.
Summer Reading List 2024
The 21st Annual Summer Reading List for Business Leaders from the University of Maryland's Robert H. Smith School of Business offers diverse recommendations. Highlights include a memoir on AI advances, a book disputing free will, a Grover Cleveland biography, and a novel by Nobel Prize-winning Kazuo Ishiguro.
New Faculty Strengthen Smith’s ‘Grand Challenges’ Strategy
Balaji Padmanabhan is among the earliest professors to bring machine learning into an MBA program. Sining Song’s research explores environmental-to-fintech-related factors in supply chain sustainability. And Agustin Hurtado recently analyzed 87 million minority-borrower accounts in a study showing minority bank ownership reduces information frictions and improves credit allocations.These professors are among the nine new tenure-track faculty members and three full time professional track faculty joining the University of Maryland’s Robert H. Smith School of Business this fall.