Research
Sovereign default risks amplify supply shocks: IMF paper
Fund study incorporates sovereign default risks into a general equilibrium model
Frequency of cyclical unemployment is rising: Fed paper
Federal Reserve study shows cyclical movements in unemployment have become more persistent in recent decades
Foreign exchange intervention less effective in open economies: IMF paper
Fund study shows the effects of foreign exchange intervention on currency is less effective the more open the economy
ECB paper highlights differences in EU real wage flexibility
European Central Bank study shows real wages are more flexible in Central and Eastern European economies than euro area countries
Policymakers can mitigate post-crises unemployment effects: Turkey’s Başçı
Central Bank of Turkey governor Erdem Başçı says declines in employment during crises can be reduced by introducing policies to ease firms’ borrowing costs
St Louis Fed paper on US monetary policy and global output gaps
St Louis Federal Reserve study says there is not sufficient empirical evidence to suggest US monetary policy should focus on global output gaps
Non-performing loans pose severe risk to advanced economies: IMF paper
Fund study finds evidence of strong link between level of non-performing loans and macroeconomic activity in advanced economies
Iceland paper reviews monetary policy in turbulent times
Central Bank of Iceland study shows banks’ price setting behaviour and inflation expectations have been negatively impacted by banking crisis
IMF paper on leaning against the wind in Latin America
Fund study says countercyclical instruments are an effective tool to restrain excessive credit growth in Latin American countries
LOLR creates incentive for banks to over-leverage: Netherlands Bank paper
A Netherlands Bank study finds central banks’ lender-of-last-resort function motivates banks to take on excessive risk
Israeli housing bubble in early stages: Bank of Israel paper
Bank of Israel study shows house price increases in Israel are not exceptionally high relative to past episodes
Expansionary effects of fiscal contractions overstated: IMF paper
Fund study finds bias in literature towards expansionary effects on fiscal contractions
Standard monetary policy rules don’t apply in liquidity traps: Dallas Fed
Dallas Federal Reserve study shows monetary policy should be complemented with fiscal policy in order to shift aggregate demand out of a liquidity trap
Costs to bank funding not fully passed on to markets: Norges Bank paper
Norges Bank study finds evidence of incomplete pass-through of banks’ funding costs on deposit rates in Norway
Islamic banks' return on deposits comove with conventional banks: IMF paper
Fund study says returns on deposits of Islamic banks in Turkey and Malaysia exhibit similar trends to conventional banks
NY Fed paper identifies labour slack threshold
New York Federal Reserve study says relationship between labour market slack and inflation is non-linear
Flight-to-safety common feature of crises: BIS paper
Bank for International Settlements study shows banks' flight-to-safety is a common feature in crises; says central banks were able to provide more liquidity this time round
Renminbi gains offer boost to foreign competitors: IMF paper
Fund study shows appreciation of renminbi increases stock price of foreign competitors and exporters to China
Weber says heterogeneity in euro area not an issue
Former Bundesbank president Axel Weber says heterogeneity of economies not an issue in currency in St Louis Federal reserve paper
Central banks are vulnerable to financial risks: Norges Bank paper
Norges Bank study says the current international financial architecture leaves central banks exposed to financial risks
Central Bank of Peru paper investigates price stickiness
Central Bank of Peru study finds no conclusive evidence of price stickiness in retail prices
Brazilian reserve requirements inefficient liquidity tool: Fed paper
Federal Reserve study says reserve requirements failed to provide adequate liquidity provisions in Brazil
RBNZ: liquidity measures limited crisis damage
Reserve Bank of New Zealand study highlights effectiveness of emergency liquidity measures
Core inflation not best predictor of price movements: Philly Fed paper
Philadelphia Federal Reserve study shows core inflation is not as good a predictor of future inflation as policymakers claim