Economics
US lockdown policy ‘too restrictive’ – Minneapolis Fed paper
Researchers model optimal lockdown policy for lowest aggregate welfare cost to society
Could engineering higher inflation help manage fiscal deficits?
Fiscal and monetary co-ordination could be a workable option for the Covid-19 recovery, Chicago Fed paper finds
Bank of Italy paper examines expectations’ effects on spending
Researchers find inflation levels affect strength of income and intertemporal substitution effects
ECB research finds Phillips curve still matters
Underlying relations are complicated, but slack and expectations still drive prices, economists say
Strict lockdown could cause 37% quarterly GDP contraction – RBNZ
Assessment shows impact of containment measures on New Zealand’s economic output
UK statisticians turn to online prices to cope with Covid-19 lockdown
Around 80% of prices are usually collected in person, forcing rethink of data gathering approach
MAS rolls out second relief package for individuals
Individuals can defer repayments of student and car loans as MAS aims to ease debt burden amid growing uncertainty
Elderson says authorities should use Covid-19 to boost green transition
Aid to aviation sector should be conditioned on moving away from carbon dioxide emissions
Lower refinancing can dampen economic recovery – Fed research
US mortgage refinancing activity remained muted after falling during 2008 crisis, researchers find
The IFF China Report 2020: Regional and multilateral co-operation
The Belt and Road Initiative has expanded to corners of the globe never thought possible; investment in Latin America, Africa and the Caribbean has strengthened free trade and fostered positive development. But there is still work to be done to ensure a…
Fed expands main street lending plans
Central bank faces criticism for appearing to respond to oil and gas lobbying
Covid-19 could cut eurozone GDP by 5%, 8% or 12% in 2020 – ECB
ECB publishes alternative scenarios for the uncertain economic outlook created by the pandemic
Dutch pension funds record heavy losses – DNB
Major pension funds warn they may have to cut payouts unless finances improve soon
BoE paper argues for heterogeneous agent modelling
Authors use heterogeneous agent model to study fiscal policy and redistribution
Podcast: An interdisciplinary approach to Covid-19 surveying
FedSpeak talks with the Minneapolis Fed’s Abigail Wozniak on her new real-time survey combining social science and epidemiology
Can growth in developing Asia be made more sustainable?
The structure of the global economy will be reshaped by Covid-19, and what happens in Asia will be crucial, writes Philip Turner
Charted: rush for dollar liquidity fades
Figures from central bank dollar repo facilities show waning demand, but outstanding swaps still high
BoE’s Proudman recommends data-gathering rethink
“Pull” model would be “revolutionary” but might come at too great a cost, official says
IMF approves new programmes in support of weaker economies
Over the past week the fund has given the green light for disbursements in Bosnia, Paraguay, DRC and Mauritania
The IFF China Report 2020: Green finance and fintech
Green finance has been steadily growing over the past few years. As China has come under greater scrutiny about the scope of its projects, the Belt and Road Initiative has evolved to foster sustainability both in terms of debt servicing and…
Pandemics can depress natural rates for multiple decades – SF Fed
Real wages tend to rise gradually for 30 years after pandemics, data stretching back to 1340s shows
The IFF China Report 2020: The Belt and Road Initiative
Over the past six years, China has invested more than $500 billion in the Belt and Road Initiative (BRI) – of which there are now in excess of 150 participating counties and organisations. Leading Chinese and international policy-makers explain how BRI…
Most eurozone states experience fiscal spillovers – ECB paper
Eurozone fiscal policy may be especially effective when rate changes have little impact, paper says
Statisticians grapple with inflation impact of Covid-19
Collecting reliable inflation figures during lockdown is not straightforward