Research
‘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
Housing price disparities complicate US monetary policy – research
Time-varying inertia in prices makes housing bubbles more unpredictable, Dallas Fed paper says
Acemoglu questions productivity benefits of AI
MIT economist finds weak productivity gains from AI and says benefits may be undermined by costs
Bank of Canada conducts large-scale survey of indigenous-owned firms
Indigenous firms have higher inflation expectations and use alternative funding sources
Use machine learning to protect payment systems – research
Tool could also be used to warn of money laundering and bank runs, researchers say
ECB paper uses RCT data on inflation expectations
Consumers’ level of attention is determined by economic environment, research finds
Past US presidents’ Fed pressure raised inflation – NBER paper
Nixon-era evidence points to major impact on price level from “political pressure shocks”
Banks should share data on borrowers, working paper argues
Compulsory data sharing has increased credit supply, Hungarian central bank paper says