The Harvard Department of Economics is currently wooing MIT Professor Sendhil Mullainathan, one of the world’s top young economists, to join its faculty.

Mullainathan, who earned his Ph.D. from Harvard in 1998, specializes in behavioral economics, corporate finance, developmental economics and applied microeconomics.

Harvard Professor of Economics David I. Laibson ’88, who specializes in behavioral economics, said that Mullainathan has excelled in all of his fields of interest.

“He is really a standout in all of those fields. I would say he has made pathbreaking contributions in every one of them,” Laibson said.

Mullainathan is currently a MacArthur Fellow, garnering him a $500,000 so-called “genius grant” paid out quarterly over five years. He was also a recipient of the Graduate Student Award for Outstanding Faculty Member of the economics department at MIT.

Laibson said that several economics professors are currently working hard to convince Mullainathan to make the trip down the river, but Mullainathan has not yet accepted the offer for tenure at Harvard.

“Many of us, myself very much included are working hard to bring him here,” Laibson said. “One of the things that he and I have already agreed to do is to co-teach a [graduate] course next spring on behavioral economics.”

Laibson said that as of now he and Mullainathan plan to go ahead with the course even if Mullainathan decides to stay at MIT.

Graduate student in economics Daniel J. Benjamin ’99, who knew Mullainathan during his time here at Harvard, echoed Laibson’s sentiments.

“I know that the Harvard faculty has been putting a lot of effort into trying to convince him to come here,” Benjamin said. “He is widely considered to be on of the top stars in economics.”

Laibson said that he was not sure what Mullainathan—who could not be reached for comment yesterday—would ultimately decide.

“He is, I think, very much torn and is working hard to make the best decision. He hasn’t shown his hand to me,” Laibson said.

Benjamin said that he has heard differing predictions about whether or not Mullainathan will accept the offer.

“I think the Harvard faculty that I have spoken with are optimistic, but I think that they are also interested parties,” Benjamin said. “I have spoken with MIT students, and they seem to have the rumor that he is staying at MIT.”

Laibson said that Harvard has unofficially been talking to Mullainathan for years, but that a formal offer has been on the table for about a year.

Laibson added that people do not often delay on these types of offers for long periods of time.

“Certainly there is a sense that you can’t hold on to these offers forever, but on the other hand there is no strict deadline,” Laibson said.

Chair of the economics department Alberto Alesina declined comment yesterday.

Laibson said he could not comment on whether or not Harvard was offering Mullainathan any added bonuses to accept the tenure offer.

“Those details are known only to Sendhil and the powers that be.”

Benjamin said that the addition of Mullainathan would undoubtedly strengthen an already stellar department.

“I think that it would make a big difference. He is the highest quality junior faculty member that you could hope for,” Benjamin said. “If he came to Harvard it would definitely be big news.”

—Staff writer Evan M. Vittor can be reached at evittor@fas.harvard.edu.