Postdoctoral Researcher in Economics

Teemu Pekkarinen

I am a postdoctoral researcher in microeconomic theory. My research interests are in information economics and game theory. I work on questions related to auctions and mechanism design.

Currently, I am continuing my research at the MIT Department of Economics. I am participating in the 2023-2024 academic job market. See you there!

You can find my Job Market Paper here.


Email: teemupek@mit.edu & pekkariselle@gmail.com

Tel.: +1(203) 285-7465

Office: E52-508 

Postal Address:

Massachusetts Institute of Technology, MIT

Department of Economics

77 Massachusetts Avenue, Building E52-300

Cambridge, MA 02139

Job Market Paper

'Optimal Auction Design with Royalty Payments', 2023. (With Ian Ball)

Abstract: We study a dynamic mechanism design problem in which agents compete to obtain a license from the principal. The agents do not know their future profits from the license, but receive signals about them. If the license is allocated, profits are realized. The principal charges royalty payments based on reported profits and can audit the agent and charge limited penalties for misreports. We solve for the optimal auction. The winner of the license pays a linear royalty payment up to a threshold, beyond which royalties are flat and there is no auditing.


'Equilibrium Pricing under Concave Advertising Costs', The B.E. Journal of Theoretical Economics, 2022. (With Klaus Kultti) 

'Equilibrium Price and Advertisement Distributions', Journal of Mathematical Economics, 97: 102535, 2021. (With Klaus Kultti)

Working Papers

'On Bilateral Trade with Interdependent Values', SSRN: 3950363, 2023.

'Optimal Regulation with Costly Verification', SSRN: 3729347, 2022. (With Petteri Palonen) 

'Mechanism Design with Auditing and Avoidance: Tax Evasion Story', SSRN: 4230382, 2022. (With Petteri Palonen)

'Why Are Branded Goods So Expensive?', SSRN: 4317792, 2023. (With Klaus Kultti)

'Free Riding in Status Competition', SSRN: 4648688, 2023. (With Klaus Kultti)

'When Aiyagari meets Piketty: Growth, Inequality and Factor Income Shares', SSRN: 3782991, 2022. (With Toni Juuti, Kari Heimonen, and Juha-Pekka Junttila)

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Please do not hesitate to contact me at any time 

Email: teemupek@mit.edu or pekkariselle@gmail.com