Research
Price-level targeting better than IT
Moving to price-level targeting from inflation targeting is welfare enhancing when imperfect credibility is short-lived, a new paper from the Bank of Canada posits.
Institutions matter in financial development
The gap in financial development between the countries of the CFA franc zone and the rest of Sub-Saharan Africa can be explained by differences in institutional quality, new research from the International Monetary Fund reveals.
Consumption related to the state of the economy
Consumption is proportional to a target wealth with the marginal propensity to consume depending on the state of the macroeconomy, new research from the St Louis Federal Reserve reveals.
Fed's governance structure should be revisited
The conventional model of central bank independence may need to be revisited given the unprecedented expansion of the Federal Reserve's balance sheet, new research from the International Monetary Fund notes.
Southern and Western US districts to thrive
Southern and Western Federal Reserve districts will show the strongest growth in the post-crisis expansion, new research from the Kansas City Fed posits.
Markets discipline governments
Markets are exerting pressure on governments to improve the state of public finances and restore competitiveness, a new paper from the International Monetary Fund reveals.
CDS auctions improve settlement efficiency
Credit default swap (CDS) auctions have the potential to enhance the efficiency of settlement, new research from the New York Federal Reserve reveals.
Labour models with best fit
Labour models with wage stickiness and right-to-manage bargaining or with firm-specific labour deliver the best fit, a new paper from the European Central Bank posits.
Bank of Canada - Spring Review
The Spring issue of the Bank of Canada Review considers changes to the country's inflation-targeting framework.
Debt discharge no guarantee for a clean start
Debt discharges fail to generate a fresh start as intended by the law, new research from the Federal Reserve Board posits.
Spillovers to emerging markets still a reality
The current global financial crisis shows that the notion of possible decoupling of financial markets in developed and emerging economies has been misplaced, a new paper from the International Monetary Fund posits.
Time-varying parameter-Var model a good fit
The time-varying parameter vector autoregressive model best describes Japanese economic data, new research from the Bank of Japan shows.
Strong policy responses shorten crises
Strong policy responses have a marked impact on the duration of crises, a new study from the International Monetary Fund posits.
Foreclosure policy should focus on unemployed
Foreclosure-reduction policy should focus on helping people who lose their jobs, new research from the Atlanta Federal Reserve suggests.
Reasons for sluggish Japanese wages uncovered
Research published by the International Monetary Fund suggests that there are two reasons why Japanese wages have risen at a slower rate than remuneration in other rich countries.
Banking crises bring longer downturns
Financial turmoil characterised by banking distress is more likely to result in severe and protracted downturns than crises caused by volatility in securities or foreign exchange markets, new research from the International Monetary Fund posits.
Income distribution impacts the economy
Movements in the distribution of income can have a significant impact on the macroeconomy, a new paper from the St Louis Federal Reserve posits.
More payment systems caused cheque decline
The decline in cheque use occurred mainly via an increase in the number of payment instruments per consumer, a new paper from the Boston Federal Reserve reveals.
IFI programmes unsuitable
The model used by international financial institutions and donors in providing support for budgetary improvement programs is inappropriate and has limited effectiveness, research from the International Monetary Fund posits.
Global factors in the Great Moderation
Research from the Bank for International Settlements claims that relative price adjustments taking place in the global economy are important sources of the lower rates of inflation which have been observed in recent decades.
An interpretation of the rise of inflation
A research paper from the National Bureau of Economic Research interprets the rise of inflation in the United States from the perspective of a simple macroeconomic framework.
Changing patterns of wealth and income in the US
The Federal Reserve has produced a paper examining the distribution of wealth and income and their joint properties, based on data from the 1989-2007 Surveys of Consumer Finance.
The rule of law reduces terrorism
Research from the St. Louis Federal Reserve finds that countries with authoritarian regimes or mature democratic systems experience less terrorism.
Fiscal-policy models are flimsy
A paper by four academics from universities and institutions in the US and Europe including Stanford's John Taylor notes that renewed interest in fiscal policy has increased the use of quantitative models to evaluate policy, but cautions that these…