The paper asks whether a government can run a deficit today — issuing "stimulus checks" — and allow debt to return to its initial level without any future tax hike or spending cut. In environments …
This 2022 Journal of Political Economy paper by Mikkel Plagborg-Møller and Christian K. Wolf asks what an external instrument (a proxy correlated with one structural shock and uncorrelated with the …
This 2021 Econometrica paper by Mikkel Plagborg-Møller and Christian K. Wolf proves that local-projection (LP) and vector-autoregression (VAR) based impulse-response estimators are, at the population …
This 2024 Journal of Econometrics paper by Dake Li, Mikkel Plagborg-Møller, and Christian K. Wolf asks a purely practical question rather than proposing a new estimator or identification scheme: when …
This paper characterizes optimal monetary and fiscal policy rules in a heterogeneous-agent New Keynesian (HANK) model and finds that a "dual mandate" central bank's optimal targeting rule is identical …