Staff working papers provide a forum for staff to publish work-in-progress research intended for journal publication.
1320
result(s)
The Impact of Globalization and Digitalization on the Phillips Curve
Staff Working Paper 2022-7
Christian Friedrich,
Peter Selcuk
Globalization is in retreat, yet digitalization is on the rise. How will these trends impact inflation?
Content Type(s):
Staff research,
Staff working papers
Topic(s):
Business fluctuations and cycles,
Inflation and prices,
International topics,
Labour markets,
Recent economic and financial developments,
Trade integration
JEL Code(s):
E,
E3,
E31,
E32,
F,
F6
Monetary Policy and Redistribution in Open Economies
Staff Working Paper 2022-6
Xing Guo,
Pablo Ottonello,
Diego Perez
We study how different types of monetary policy shape the distributional effects of external economic shocks on households’ consumption in a small open economy. Our results present a trade-off between maintaining overall stabilization and controlling consumption inequality.
Content Type(s):
Staff research,
Staff working papers
Topic(s):
Exchange rate regimes,
Monetary policy
JEL Code(s):
E,
E3,
E32,
E5,
E52,
F,
F4,
F41,
F44
On the Wedge Between the PPI and CPI Inflation Indicators
Staff Working Paper 2022-5
Shang-Jin Wei,
Yinxi Xie
We find that the CPI and PPI inflation indexes co-moved strongly throughout the late 20th century, but their correlation has fallen substantially since the early 2000s. We offer a structural explanation for this divergence based on the growth of global supply chains since 2000. This finding offers a unique perspective for the future design of optimal monetary policy.
Content Type(s):
Staff research,
Staff working papers
Topic(s):
Inflation and prices,
Inflation targets,
International topics,
Monetary policy
JEL Code(s):
E,
E3,
E31,
E5,
E52,
E58,
F,
F1,
F11,
F12,
F4,
F41,
F6,
F62
The Financial Origins of Non-fundamental Risk
Staff Working Paper 2022-4
Sushant Acharya,
Keshav Dogra,
Sanjay Singh
We explore the idea that the financial sector can be a source of non-fundamental risk to the rest of the economy. We also consider whether policy can be used to reduce this risk—either by increasing the supply of publicly backed safe assets or by reducing the demand for safe assets.
Content Type(s):
Staff research,
Staff working papers
Topic(s):
Asset pricing,
Financial markets,
Financial stability
JEL Code(s):
D,
D5,
D52,
D8,
D84,
E,
E6,
E62,
G,
G1,
G10,
G12
Firm Inattention and the Efficacy of Monetary Policy: A Text-Based Approach
Staff Working Paper 2022-3
Wenting Song,
Samuel Stern
How much attention do firms pay to macroeconomic news? Through a novel text-based measure, two facts emerge. First, attention is polarized. Most firms either never or always pay attention to economic conditions. Second, it is countercyclical. During recessions, more firms pay attention, and firms pay greater attention to macroeconomic news.
Content Type(s):
Staff research,
Staff working papers
Topic(s):
Business fluctuations and cycles,
Inflation and prices,
Monetary policy
JEL Code(s):
D,
D8,
D83,
E,
E4,
E44,
E5,
E52
What Drives Bitcoin Fees? Using Segwit to Assess Bitcoin's Long-Run Sustainability
Staff Working Paper 2022-2
Colin Brown,
Jonathan Chiu,
Thorsten Koeppl
We explore what drives transaction fees in the Bitcoin system and consider whether Bitcoin can remain tamper proof in the long run.
Content Type(s):
Staff research,
Staff working papers
Topic(s):
Digital currencies and fintech,
Payment clearing and settlement systems
JEL Code(s):
E,
E4,
E42,
G,
G2
Business Closures and (Re)Openings in Real Time Using Google Places
Staff Working Paper 2022-1
Thibaut Duprey,
Daniel E. Rigobon,
Philip Schnattinger,
Artur Kotlicki,
Soheil Baharian,
T. R. Hurd
The COVID-19 pandemic highlighted the need for policy-makers to closely monitor disruptions to the retail and food business sectors. We present a new method to measure business opening and closing rates using real-time data from Google Places, the dataset behind the Google Maps service.
Content Type(s):
Staff research,
Staff working papers
Topic(s):
Firm dynamics,
Recent economic and financial developments
JEL Code(s):
C,
C5,
C55,
C8,
C81,
D,
D2,
D22,
E,
E3,
E32
Best Before? Expiring Central Bank Digital Currency and Loss Recovery
Staff Working Paper 2021-67
Charles M. Kahn,
Maarten van Oordt,
Yu Zhu
We consider introducing an expiry date for offline digital currency balances. Consumers whose digital cash expired would automatically receive the funds back into their online account. This functionality could increase demand for digital cash, with the time to expiry playing a key role.
Content Type(s):
Staff research,
Staff working papers
Topic(s):
Digital currencies and fintech
JEL Code(s):
E,
E4,
E41,
E42
News-Driven International Credit Cycles
Staff Working Paper 2021-66
Galip Kemal Ozhan
This paper examines the implications of positive news about future asset values that turn out to be incorrect at a later date in an open economy model with banking. The model captures the patterns of bank credit and current account dynamics in Spain between 2000 and 2010. The model finds that the use of unconventional policies leads to a milder bust.
Content Type(s):
Staff research,
Staff working papers
Topic(s):
Credit and credit aggregates,
Economic models,
Financial stability,
Recent economic and financial developments,
Sectoral balance sheet
JEL Code(s):
E,
E4,
E44,
F,
F3,
F32,
F4,
F41,
G,
G1,
G15,
G2,
G21