Research
ECB identifies dark side of wholesale funding
European Central Bank study finds that despite benefits of wholesale funding, liquidity scares can cause instability to banks that are uninformed of potential risks
Fed better prepared than us for financial crisis: ECB paper
European Central Bank study shows stronger emphasis towards output allowed the Fed to react faster than Frankfurt to financial crisis
EU’s Barnier: paradigm shift in regulating OTC derivatives
European Commission commissioner for internal market and services Michel Barnier says concept of light touch regulation is history
Wellink: OTC markets still need good risk management systems
Basel Committee chairman Nout Wellink warns central clearing house not a silver bullet for over-the-counter derivatives markets
Credit boom overlooked due to silo culture in credit markets
Financial Times journalist says informational barriers between credit specialists and regulators meant credit markets were poorly managed pre-crisis
NY Fed: new approach to government funding
NY Fed paper proposes measures to reduce government's reliance on cyclical revenue sources
RBI's Gopinath says regulation key in OTC reforms
Reserve Bank of India deputy governor Shyamala Gopinath discusses challenging process of calibrating India's over-the-counter derivatives markets
Banque de France: CDS mismanagement rather than naked shorting caused market downfall
Banque de France study says credit default swaps should not be abandoned; creation of centrally cleared market can reduce systemic risk
Central bank auctions reveal banks' liquidity risks
BIS study says aggressive bidding in central bank auctions good indication of liquidity risks at banks
Bank of Canada: Chinese shocks have global bearing
Bank of Canada study shows China’s monetary policy is less effective at weathering shocks and country must be incorporated in global models
IMF: Liberalisation of trade can curb Iraqi inflation
IMF study finds mounting inflation in Iraq arising from oil monopolists can be lessened through open market policies
SNB: Firms factor in effort when determining wages
Swiss National Bank study shows workers derive a psychological benefit from reciprocating a generous wage offer by the firm with harder work
NY Fed: Shadow banks should not be kept in the dark
New York Federal Reserve study says permanent access to funding facilities for shadow banks should be considered following credit market strains
Don’t trust the bloggers on economics: Fed economist
Richmond Federal Reserve’s Kartik Athreya says “extremely low likelihood” that writers who have not taken a year of PhD coursework in a decent economics department can advance the discussion on economics
Taking the credit in eastern Europe
Need for credit higher in eastern, than western, Europe, Swiss National Bank research finds
BIS: currency collapses benefit output growth
Bank for International Settlements study on currency collapses finds devaluation helps growth in the long run, rather than dampening it
RBA: standard Phillips curve better measure of inflation than New Keynesian version
Reserve Bank of Australia study finds traditional Phillips curve model outperforms New Keynesian version in measuring inflation
RBA: Australia’s employment boom had no impact on joblessness
Reserve Bank of Australia study finds labour growth in the past decade served those outside labour force, but not unemployed skilled workers
Central Bank of Brazil: inflation tax risked hyperinflation
Brazilian central bank study shows the country risked weak hyperinflation in the past due to high income tax elasticity
Cleveland Fed: Fed’s abandonment of FX controls justified
Cleveland Federal Reserve study says Fed was right to stop intervening in foreign exchange markets as it helped stabilise prices in long term
St Louis Fed: FOMC largely ignored Phillips curve framework
A St Louis Federal Reserve study on Fed transcripts shows the FOMC was split on whether to use the Philips curve in monetary policy decisions
San Francisco Fed: jobs growth policies only temporarily effective
San Francisco Fed study shows recent government policies designed to stimulate employment failed to have any long-lasting effects
IMF: FDI undermined competitiveness in central and eastern Europe
An IMF study on real effective exchange rates reveals large volumes of foreign capital flows reduced competitiveness in central and eastern and European countries
Terms of credit in a competitive market: Philly Fed research
Paper from the Philadelphia Federal Reserve constructs a model to explain behaviour of lenders and borrowers