This 1966 American Economic Review paper by Maurice Allais asks whether the quantity theory of money can be given a single operational formulation that holds uniformly across normal times and …
This paper builds a theory of macroprudential policy whose only friction is nominal rigidity in goods and labor markets, possibly combined with a constraint on monetary policy such as the zero lower …
This 2007 Journal of Monetary Economics paper by Wouter den Haan, Steven Sumner, and Guy Yamashiro asks whether the three main categories of U.S. bank loans -- commercial and industrial (C&I), real …
This 1980 paper lays out the theoretical foundation for treating monetary aggregates such as M2 as genuine economic quantities and derives the Divisia index as the theoretically correct way to measure …
PublishedClassicFederal Reserve Bank of St. Louis ReviewPublished Mar 1994
This 1972 Journal of Economic Theory paper by Robert Lucas constructs an overlapping-generations general equilibrium model — young and old traders exchanging in two physically separated, …
Using a new security-level dataset covering $32 trillion in global investment positions, this paper establishes that the currency a bond is denominated in -- not the nationality of its issuer -- is …
This 1961 American Economic Association Papers and Proceedings essay by Karl Brunner argues that evaluating monetary policy's effectiveness requires separately and rigorously assessing two distinct …
PublishedClassicQuarterly Journal of EconomicsOnline 31 Jan 2022Published Jul 2022
Two centuries of monthly prices for 1,552 foreign-currency government bonds traded in London and New York, matched bond-by-bond to a new archive of defaults and haircuts, show that external sovereign …
Estimated Taylor-type policy rules typically find the Fed adjusts the funds rate only 20-30 percent of the way to its desired level each quarter, widely read as deliberate "interest rate smoothing" -- …
PublishedClassicInternational Journal of Central BankingPublished Mar 2013
This 2013 International Journal of Central Banking paper by Canlin Li and Min Wei asks whether changes in the supply of Treasury securities and agency mortgage-backed securities (MBS) affect nominal …
PublishedClassicEuropean Economic ReviewOnline 21 Nov 2010Published Jan 2011
Using the government-debt valuation equation -- the requirement that the real value of outstanding government debt equal the present value of future primary surpluses -- this paper argues that after …