Economists need to better understand macrofinancial links – BIS paper
Stijn Claessens and Ayhan Kose call for “new generation of models”
Economists are starting to better grasp the importance of links between the real economy and the financial sector, but a lot of gaps in the research agenda remain, according to Stijn Claessens and Ayhan Kose.
The pair survey the “rapidly expanding” literature on macrofinancial links in a lengthy new paper, published by the Bank for International Settlements on January 12. They stress the need to fill the “large data gaps” and develop a “new generation of models”.
Interest in macrofinancial
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