Research
The relationship between deregulation and firm volatility
Federal Reserve paper finds evidence from the 80s suggesting volatility declined as a result of interstate deregulation
Zero lower bound may have cost US $1.7 trillion
San Francisco Fed’s John Williams argues zero bound on interest rates has had negative effect and could continue to do so
Take time to revise international financial architecture
Central Bank of Argentina believes reform of international financial architecture can wait until crisis abates
Base countercyclical provisioning on expected losses
Bank of Italy looks at Spanish dynamic provisioning
Accounting overstates banks’ health: IMF paper
International Monetary Fund research finds banks not as healthy as their balance sheets suggest
Foreign demand for currencies and the Friedman rule
A new paper from two economists at Columbia University finds that the Friedman rule ceases to be Ramsey-optimal when foreign demand is taken into consideration
A quarterly GDP series for post-WW2 New Zealand
A new paper from the Reserve Bank of New Zealand creates a quarterly GDP series for the post-war economy
Instability hampers finance: IMF
International Monetary Fund looks at market access for the world’s poorest countries
A model to analyse stability
Reserve Bank of New Zealand paper details the development of a cobweb model that will be used in its Financial Stability Report
Monetary policy impacts effect of fiscal aid
Kansas City Federal Reserve studies the interactions between monetary and fiscal policy
Gold standard did Scandinavia good
Norges Bank examines monetary policy and inflation dynamic of the Scandinavian Currency Union
Evaluating economy-wide risk measurement tools
Bank of Canada paper acknowledges useful information exists on credit risk models, but argues further work is needed
Woodford unveils new model for transmission mechanism
New York Federal Reserve paper co-authored by Michael Woodford introduces a new model for monetary policy which considers the effects of unconventional policy
Price volatility lower in inflation-targeting countries
Reserve Bank of Australia compares inflation volatility in inflation-targeting and non-inflation-targeting countries
Evaluating monetary policy
Risksbank’s Svensson on the difficulties of measuring the right rate for inflation targeting
Output does not rebound, but recovers in the long run
A new working paper from the IMF argues that the absence of simultaneous banking and currency crisis and high levels of investment shore up output in the medium term
Social contract needs a revamp
Bank of England’s Andrew Haldane finds that social contract between banks and the state needs to revised
Bagehot in the beginning
Norges Bank research charts the development of lender-of-last-resort support in the mid-19th century
Pillar 3 crucial for bank safety
Bank of Finland examines the combined effect of the Pillar 1 minimum capital requirements and Pillar 3 disclosure requirements of Basel II on bank safety
Spain should hold on tightening fiscal policy
R. Anton Braun, University of Tokyo, compares the current Spanish recession with Japan in the 1990s and looks at the impact of fiscal policy measures
HKMA policy eased post-Lehman stress
Hong Kong Monetary Authority looks at the effectiveness of its policy response to the dislocations and stress in the local interbank and FX swap markets after Lehman collapse
Ireland on how to make better forecasts
Central Bank and Financial Services Authority of Ireland looks at whether modelling structural change improves macroeconomic forecasting
Too-big-to-fail matters for macroprudence
Federal Reserve Board research looks at the dynamics of spillover effects of the global financial crisis to Asia and Pacific region
Danes naturals for mobile payments
National Bank of Denmark research suggests that Danish consumers should utilise mobile payments more