Research
New taxonomy of operating frameworks from BIS economists
Two-dimensional approach captures “surprising similarities” between different methods
Dollar dominance amplifies transmission of US shocks – study
Bank of Korea research recommends promoting South Korean bonds and internationalisation of won
Riksbank deputies say rate forecasting key to transparency
Officials say advantages of openness outweigh drawbacks
US consumers’ expectations of finding work hit new low – study
Mean perceived probability of a newly unemployed person finding a job fell to 44.9%
Liquidity impairment harms policy transmission – BIS paper
Authors say QE may be more potent in times of market stress
Little impact on Sweden’s inflation from US’s China tariffs – study
Sveriges Riksbank paper says levies will affect Swedish exporters in as yet unknown ways
US SMEs less fazed by tariff turmoil – Boston Fed survey
Study suggests further uncertainty over levies would no longer cause firms’ outlook to deteriorate
World Bank report says going green makes economic sense
Authors tie employment, resources and productivity to environmental health
DNB calls for ‘structural solutions’ to varying eurozone inflation
Rebalancing effect of eurozone’s uniform monetary policy is “slow and incomplete”, central bank says
Study suggests AI is already leading to US job losses
Research by St Louis Fed says effect has been greatest in mathematical and computer sectors
Tariffs may lower the natural interest rate – research
Increased trade costs reduce demand for capital, say authors
BoE economists outline model of liquidity-solvency spirals
Model aims to test banks against the sort of interactions that led to collapse of SVB and Credit Suisse
NBER paper says geopolitical risk impacts consumer expectations
ECB survey questions help establish causal link between Russia-Ukraine war and spending plans
Teach people monetary policy to anchor expectations – ECB paper
Experiment run at ECB visitor centre finds strong impact from education
Yield spreads of bonds held by mutual funds decline in QE – ECB paper
Bond purchase programmes compress risk premia and boost demand, research finds
Ex-BIS research head backs tokenised deposits over stablecoins
Tokenisation is the “truly transformative innovation”, argue Cecchetti and Schoenholtz
Aging population may improve fiscal sustainability – paper
More old people means more money to invest in assets like government bonds, researchers point out
US consumer spending resilience hides inequalities – research
Low-income consumers’ credit card debt has risen substantially since 2019
Eurozone unemployment stats may understate slack – research
Authors say they have created an indicator with important monetary policy implications
Climate change harming global economy – BoK study
Study finds high income countries more vulnerable to climate change, in contrast to other research
Financial conditions help explain policy stance in Africa – IMF paper
Study says r* is not a sufficient guide to monetary policy when transmission mechanism is impaired
Uncertainty necessitates strong capital buffers – ECB
Central bank calls for increased attention to macro-pru and monetary policy complementarity
National debt will push up US interest rates – Dallas Fed research
Long-term rates could rise more than 1.5 percentage points over next 30 years, say authors