Research
Policy should ‘accommodate’ core inflation to ward off unemployment – paper
Central banks can help insulate vulnerable households in event of energy shock
Politicians not ‘blindly’ ideological when judging ECB – research
Right-wingers prefer narrowly focused mandate but data shapes all representatives’ views, paper says
Cash use on the decline in Germany
Card and mobile payments gain ground as cash’s share of payments falls to 51% in 2023
Aggressive monetary policy hits poorer harder – research
New York Fed authors find stabilising demand shocks has positive distributional outcomes
New NBER research sheds light on ‘cheapflation’
Savings from price discounts partially offset by price hikes for cheaper products
Dollar exchange rate variation affects prices less than euro – Riksbank study
Krona-dollar depreciation often coincides with downturn in demand
‘Selective memory’ helps explain expectation de-anchoring – paper
Authors build model around three “regularities of human recall”
Sexual orientation impacts financial wellbeing – Fed research
Gay, lesbian and bisexual people “significantly more financially vulnerable than previously understood”
Canadian rate hikes may have lasting effects – research
Bank of Canada researchers find disposable income could decrease by up to 5% by 2027
US inflation’s last mile ‘could take several years’ – Cleveland Fed
Favourable shocks are necessary to reach 2% quickly, researcher argues
Trademark confusion influences US depositors, Fed paper finds
Federal Reserve Board researchers find a similar name to a failed bank decreases deposits
Economists explore 200 years of data on sovereign defaults
“Serial restructurings” are on the rise, with investors taking an average haircut of 45%
Removing discount window stigma is difficult – NY Fed
Authors recommend creating a new facility and mandating regular usage
Transitioning to renewables could reduce shock impact – research
Authors say Brazilian economy may serve as a model in the clean energy transition
Build up CCyB gradually over financial cycle, says ECB paper
Even partially built-up buffers help during a shock, researchers argue
QE liquidity boosts investment into EMEs, paper finds
Economists propose new mechanism for QE spillovers to emerging market economies
ECB paper presents new measure of bank performance
“Bank edge” compares individual banks’ book returns to benchmark portfolio
Simpler models can capture dynamics of Hank framework – NBER paper
Heterogeneity can be “irrelevant” to determining output in some situations, authors find
New York Fed paper argues for wage insurance
The programme would pay for itself and increase lifetime earnings, researchers say
Financial statement revisions can predict bank instability – research
Central Bank of Brazil researchers looked at 7.4 million financial items from 1,812 banks
Large central banks usually failed to quash inflation – Fed research
Soft landings are possible with early and parsimonious action, authors find
US citizens are unready for rainy days, research finds
Spending has increased from pre-pandemic trend level, Minneapolis Fed paper says
CBDC would have little effect on real economy – BoK paper
Researcher says CBDCs would have marginal but positive effects on output