E31

Marco Bassetto · David S Miller

Overview Research Question. Why do sudden inflations and currency crises occur, while symmetric sudden deflations never do? The paper asks whether treating nominal government bonds as analogous to …

Joel P. Flynn · George Nikolakoudis · Karthik A. Sastry

Research Question Modern macroeconomic models of aggregate supply universally restrict firms to price-setting — committing to a price and supplying whatever quantity the market demands. Flynn, …

Marco Errico · Danial Lashkari

Errico and Lashkari address two intertwined problems in the measurement of aggregate price indices: how to account for quality change and variety entry/exit when the demand system is not CES, and how …

Luca Gagliardone · Mark Gertler · Simone Lenzu · Joris Tielens

Layer 1 — Overview Research Question This paper addresses a fundamental puzzle in macroeconomics: why do estimates of the New Keynesian Phillips curve (NKPC) slope differ sharply depending on whether …

Ippei Fujiwara · Kiminori Matsuyama

Fujiwara and Matsuyama ask whether the well-documented flattening of the New Keynesian Phillips curve (NKPC) and the concurrent rise in market concentration and markup rates are causally linked or …

Fernando Alvarez · Katarína Borovičková · Robert Shimer

Layer 1 — Overview Research Question. This paper asks two related questions. First, can one develop a robust, distribution-free estimator for the discrete-time mixed proportional hazard (MPH) model of …

Emil Holst Partsch · Ivan Petrella · Emiliano Santoro

Layer 1 — Overview Research Question Consumer durables account for a disproportionately large share of household expenditure fluctuations despite their small share of total private consumption. Two …

Jonathan Payne · Bálint Szőke · George Hall · Thomas J Sargent

Overview This paper constructs a new dataset of US federal bond prices and uses it to estimate the full term structure of yields on gold-denominated US federal debt from 1791 to 1933 — the entire gold …

Michael McLeay · Silvana Tenreyro

Layer 1 — Summary An emerging view in international macroeconomics contends that dollar invoicing of exports renders monetary policy ineffective for non-U.S. countries: because export prices are …

Maximilian Schröder

This paper introduces a Bayesian Gaussian mixture density regression framework that estimates the complete forecast distribution of inflation — not just selected quantiles — and decomposes the entire …

Sandra Daudignon · Oreste Tristani

This paper analyzes how monetary policy should respond to a long-run natural interest rate that can drift permanently — following a bounded random walk with upper bound 3 percent and lower bound 0 …

Sebastian Schmidt

The paper builds a discrete-time DSGE model with Calvo sticky prices in which the public sector has two feedback rules that can hit corners, generating endogenous shifts between an …

Peter Andre · Ingar Haaland · Christopher Roth · Mirko Wiederholt · Johannes Wohlfart

Layer 1 — Overview Research Question This paper investigates two related empirical questions in the context of the historic surge in US inflation in late 2021 and 2022: (1) What narratives—causal …

Ojasvita Bahl · Chetan Ghate · Debdulal Mallick

Layer 1 — What this paper finds and why it matters Governments in emerging market and developing economies (EMDEs) routinely intervene in agricultural markets — procuring grain and redistributing it …

Henrique S. Basso · Omar Rachedi

Robot Adoption and Inflation Dynamics Research Question Basso and Rachedi investigate how robot adoption influences inflation dynamics — specifically, whether the surge in automation during the 2000s …

Tom D. Holden

The paper proposes and analyzes real rate rules — monetary policy rules of the form i_t = r_t + φπ_t (φ > 1), where r_t is the current-period real interest rate observed via TIPS yields or …

James Bullard · Alex Grimaud · Isabelle Salle · Gauthier Vermandel

Layer 1 — Overview Research Question Why did the 2021–2023 US inflation surge end in a soft landing — disinflation without a major recession — while the Volcker disinflation of 1979–1987 required …