Ulrike Malmendier
NOMIS Insight Lecture
Wednesday,
October 14, 2026
18:10 – 18:45
Stress and Economics — Exploring the Alleviating Role of Predictability and Controllability
We live in a world of repeated crises, where economic shocks like stock-market crashes or unexpected layoffs are frequent occurrences. The impact extends beyond financial consequences, causing lasting physical and mental harm, including accelerated aging and higher mortality. These biological stress responses alter major life decisions and lead to negative economic outcomes, such as poor job performance and less career advancement. While traditional economics focuses on financial metrics like wage stabilization and job creation, it overlooks the underlying biological and physiological factors.
Ulrike Malmendier’s NOMIS-supported research project, Stress and Economics, explores how employers and policymakers can reduce the harmful effects of stress and economic disruption on the workforce during times of crises. Focusing on predictability (knowing what is coming) and controllability (feeling that one’s actions matter), her research may prove vital as automation and AI reshape the workforce.
